Transactions for common stock and trading investments

Zeus Investments Inc. is a regional freight company that began operations on January 1, 20Y8. The following transactions relate to trading securities acquired by Zeus Inc., which has a fiscal year ending on December 31:

20Y8
Feb.	14.	Purchased 3,100 shares of Apollo Inc. common stock at $31 per share plus a brokerage commission of $620. Apollo Inc. has 126,720 shares of common stock outstanding.
Apr.	1.	Purchased securities of Ares Inc. as a trading investment for $18,300.
June	1.	Sold 700 shares of Apollo Inc. for $32 per share less a $90 brokerage commission.
June	27.	Received an annual dividend of $0.14 per share on 2,400 shares of Apollo Inc. stock.
Oct.	15.	Sold the remaining shares of Apollo Inc. for $30 per share less a $22 brokerage commission.
Dec.	31.	The trading securities of Ares Inc. have a fair value on December 31 of $22,800.
20Y9
Mar.	14.	Purchased securities of Athena Inc. as a trading investment for $50,610.
July	30.	Sold securities of Athena Inc. that cost $10,845 for $8,910.
Dec.	31.	The fair values of the Ares Inc. and Athena Inc. securities are as follows:

Issuing Company	Cost	Fair Value
Ares Inc.	$18,300	$19,500
Athena Inc.	74,880	84,000

Required:

1. Journalize the entries to record the preceding transactions, including any December 31 adjusting entries. If an amount box does not require an entry, leave it blank. In your computations, round per share amounts to two decimal places. When required, round final answers to the nearest dollar.

Date	Description	Debit	Credit
20Y8
Feb. 14	CashDividend RevenueInterest ReceivableInvestments-Apollo Inc. StockValuation Allowance for Trading Investments	fill in the blank 2	fill in the blank 3
	CashDividend RevenueGain on Sale of InvestmentsInvestments-Apollo Inc. StockUnrealized Loss on Trading Investments	fill in the blank 5	fill in the blank 6
Apr. 1	CashDividend RevenueInterest ReceivableTrading Investments-Ares Inc.Valuation Allowance for Trading Investments	fill in the blank 8	fill in the blank 9
	CashDividend RevenueInterest ReceivableTrading Investments-Ares Inc.Valuation Allowance for Trading Investments	fill in the blank 11	fill in the blank 12
June 1	CashDividend RevenueGain on Sale of InvestmentsInvestments-Apollo Inc. StockLoss on Sale of Investments	fill in the blank 14	fill in the blank 15
	CashDividend RevenueGain on Sale of InvestmentsLoss on Sale of InvestmentsValuation Allowance for Trading Investments	fill in the blank 17	fill in the blank 18
	CashGain on Sale of InvestmentsInterest ReceivableInvestments-Apollo Inc. StockLoss on Sale of Investments	fill in the blank 20	fill in the blank 21
June 27	CashDividend RevenueInterest RevenueInvestments-Apollo Inc. StockLoss on Sale of Investments	fill in the blank 23	fill in the blank 24
	CashDividend RevenueGain on Sale of InvestmentsInvestments-Apollo Inc. StockValuation Allowance for Trading Investments	fill in the blank 26	fill in the blank 27
Oct. 15	CashInvestments-Apollo Inc. StockUnrealized Gain on Trading InvestmentsUnrealized Loss on Trading InvestmentsValuation Allowance for Trading Investments	fill in the blank 29	fill in the blank 30
	Dividend RevenueInterest RevenueInvestments-Apollo Inc. StockLoss on Sale of InvestmentsValuation Allowance for Trading Investments	fill in the blank 32	fill in the blank 33
	CashDividend RevenueInvestments-Apollo Inc. StockLoss on Sale of InvestmentsValuation Allowance for Trading Investments	fill in the blank 35	fill in the blank 36
Dec. 31	CashInvestments-Apollo Inc. StockUnrealized Gain on Trading InvestmentsUnrealized Loss on Trading InvestmentsValuation Allowance for Trading Investments	fill in the blank 38	fill in the blank 39
	CashInvestments-Ares Inc.Unrealized Gain on Trading InvestmentsUnrealized Loss on Trading InvestmentsValuation Allowance for Trading Investments	fill in the blank 41	fill in the blank 42
20Y9
Mar. 14	CashDividend RevenueInterest ReceivableTrading Investments-Athena Inc.Valuation Allowance for Trading Investments	fill in the blank 44	fill in the blank 45
	CashDividend RevenueInterest ReceivableTrading Investments-Athena Inc.Valuation Allowance for Trading Investments	fill in the blank 47	fill in the blank 48
July 30	CashDividend RevenueGain on Sale of InvestmentsTrading Investments-Athena Inc.Valuation Allowance for Trading Investments	fill in the blank 50	fill in the blank 51
	Dividends ReceivableGain on Sale of InvestmentsInterest ReceivableTrading Investments-Athena Inc.Loss on Sale of Investments	fill in the blank 53	fill in the blank 54
	CashDividends RevenueInterest ReceivableLoss on Sale of InvestmentsTrading Investments-Athena Inc.	fill in the blank 56	fill in the blank 57
Dec. 31	CashInvestments-Apollo Inc. StockUnrealized Gain on Trading InvestmentsUnrealized Loss on Trading InvestmentsValuation Allowance for Trading Investments	fill in the blank 59	fill in the blank 60
	CashInvestments-Athena Inc.Unrealized Gain on Trading InvestmentsUnrealized Loss on Trading InvestmentsValuation Allowance for Trading Investments	fill in the blank 62	fill in the blank 63

2. Prepare the Trading Investments section of the December 31, 20Y9, balance sheet for Zeus Inc.

Zeus Investments Inc. Balance Sheet (selected items) December 31, 20Y9
Current Assets:
Dividend RevenueTrading Investments (at Cost)Trading Investments (at Fair Value)Unrealized Gain on Trading InvestmentsUnrealized Loss on Trading Investments	$fill in the blank 65
Dividend RevenueTrading Investments (at Fair Value)Unrealized Gain on Trading InvestmentsUnrealized Loss on Trading InvestmentsValuation Allowance for Trading Investments	fill in the blank 67
Trading Investments (at Cost)Trading Investments (at Fair Value)Unrealized Gain on Trading InvestmentsUnrealized Loss on Trading InvestmentsValuation Allowance for Trading Investments		$fill in the blank 69

3. How are unrealized gains or losses on trading investments presented on the financial statements of Zeus Inc.?

Unrealized gains or losses are reported in the

balance sheetincome statement

, often as

Other Asset (Liability)Other Revenue

.