Answered step by step
Verified Expert Solution
Question
1 Approved Answer
uan Corp. manufactures construction equipment. Journalize the entries to record the following selected equity investment transactions completed by Quan during a recent year using the
uan Corp. manufactures construction equipment. Journalize the entries to record the following selected equity investment transactions completed by Quan during a recent year using the fair value method. Purchased for cash 1,300 shares of Celeste Inc.'s common stock for $49 per share plus a $650 brokerage commission. Celeste Inc. has 85,000 shares of common stock outstanding. Feb. 2 Mar. 6 June 7 July 26 Received dividends of $0.30 per share on Celeste Inc. stock. Purchased 700 shares of Celeste Inc. stock for $56 per share plus a $350 brokerage commission. Sold 1,450 shares of Celeste Inc. stock for $60 per share less a $725 brokerage commission. Quan assumes that the first investments purchased are the first investments sold. Sept. 25 Received dividends of $0.40 per share on Celeste Inc. stock. Dec. 31 At the end of the accounting period, the fair value of the remaining 550 shares of Celeste Inc. stock was $33,075. If an amount box does not require an entry, leave it blank. When required, round final answers to the nearest dollar. Feb. 2 Investments-Celeste Inc. Stock Cash Mar. 6 Cash June 7 Dividend Revenue Investments-Celeste Inc. Stock Cash July 26 Cash Gain on Sale of Investments Investments-Celeste Inc. Stock Sept. 25 Cash Dec. 31
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started