undefined

Exercise 17-15 Pina Company has the following securities in its portfolio on December 31, 2020. None of these investments are accounted for under the equity method. Investments Cost Fair Value 1,500 shares of Gordon, Inc., Common $80,000 $75,900 5,000 shares of Wallace Corp., Common 172,000 166,800 400 shares of Martin, Inc., Preferred 57,200 58,800 $309,200 $301,500 All of the securities were purchased in 2020. In 2021, Pina completed the following securities transactions. March 1 Sold the 1,500 shares of Gordon, Inc., Common, @ $45 less fees of $1,200. April 1 Bought 700 shares of Earnhart Corp., Common, @ $75 plus fees of $1,300. Pina's portfolio of equity securities appeared as follows on December 31, 2021. Investments Cost Fair Value 5,000 shares of Wallace Corp., Common $172,000 $166,800 700 shares of Earnhart Corp., Common 53,800 50,200 400 shares of Martin, Inc., Preferred 57,200 55,000 $283,000 $272,000 Prepare the general journal entries for Pina Company for: (a) The 2020 adjusting entry. (b) The sale of the Gordon stock. (c) The purchase of the Earnhart stock. (d) The 2021 adjusting entry for the trading portfolio