Tampa Today Publishers completed the following trading investment transactions during 2014 and 2015: 2014 Dec. 6 Purchased

Question:

Tampa Today Publishers completed the following trading investment transactions during 2014 and 2015:

2014

Dec. 6 Purchased 950 shares of Golden stock at a price of $ 25.00 per share, intending to sell the investment next month.

23 Received a cash dividend of $ 1.30 per share on the Golden stock.

31 Adjusted the investment to its market value of $ 20.00 per share.

2015

Jan. 27 Sold the Golden stock for $ 22.00 per share.

Requirements

1. Journalize Tampa’s investment transactions. Explanations are not required.

2. On December 31, 2014, how would the Golden stock be classified and at what value would it be reported on the balance sheet?

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...