a. On February 15, paid $160,000 cash to purchase GMI's 90-day short-term notes at par, which are dated February 15 and pay 9% interest (classified as held-to-maturity b. On March 22, bought 1000 shares of Fren Inc. common stock at $50 cash per shere. Cancun's stock investment results in it having en insignificant influence over Fran e. On May 15, received a check from GMI in payment of the principal and 90 days' interest on the notes purchased in parta d. On July 30, paid $48,000 cash to purchase MP Inc.'s 8%, six month notes at par dated July 30 (classified as trading securities On September 1, received a $0.38 per share cash dividend on the Fran Inc. common stock purchased in part b f. On October 8. sold 500 shares of Fren Inc. common stock for $66 cash per shere g. On October 30, received a check from MP Inc. for three months Interest on the notes purchased in part Prepare journal entries to record the above transactions involving both the short-term and long-term investments of Cancun Corp..all of which occurred during the current year (Use 360 days in a year. Do not round your intermediate calculations. Round your answers to the nearest whole doller) View bansaction list Journal entry worksheet < 1 2345 4 5 6 7 On February 13, paid $100,000 cash to purchase GM's 50-day short-term notes at par, which are dated February 15 and pay 9% interest (classified at held-to-maturity) Note: Enter debits before credits. Transaction General Journal Debit Credit View general journal Record uitry Clear entry >
a. On February 15, paid $160,000 cash to purchase GMI's 90-day short-term notes at par, which are dated February 15 and pay 9% interest (classified as held-to-maturity b. On March 22, bought 1000 shares of Fren Inc. common stock at $50 cash per shere. Cancun's stock investment results in it having en insignificant influence over Fran e. On May 15, received a check from GMI in payment of the principal and 90 days' interest on the notes purchased in parta d. On July 30, paid $48,000 cash to purchase MP Inc.'s 8%, six month notes at par dated July 30 (classified as trading securities On September 1, received a $0.38 per share cash dividend on the Fran Inc. common stock purchased in part b f. On October 8. sold 500 shares of Fren Inc. common stock for $66 cash per shere g. On October 30, received a check from MP Inc. for three months Interest on the notes purchased in part Prepare journal entries to record the above transactions involving both the short-term and long-term investments of Cancun Corp..all of which occurred during the current year (Use 360 days in a year. Do not round your intermediate calculations. Round your answers to the nearest whole doller) View bansaction list Journal entry worksheet < 1 2345 4 5 6 7 On February 13, paid $100,000 cash to purchase GM's 50-day short-term notes at par, which are dated February 15 and pay 9% interest (classified at held-to-maturity) Note: Enter debits before credits. Transaction General Journal Debit Credit View general journal Record uitry Clear entry >
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Transcribed Image Text:a. On February 15, paid $160,000 cash to purchase GMI's 90-day short-term notes at par, which are dated February 15 and pay 9%
interest (classified as held-to-maturity
b. On March 22, bought 1000 shares of Fren Inc. common stock at $50 cash per shere. Cancun's stock investment results in it having
en insignificant influence over Fran
e. On May 15, received a check from GMI in payment of the principal and 90 days' interest on the notes purchased in parta
d. On July 30, paid $48,000 cash to purchase MP Inc.'s 8%, six month notes at par dated July 30 (classified as trading securities
On September 1, received a $0.38 per share cash dividend on the Fran Inc. common stock purchased in part b
f. On October 8. sold 500 shares of Fren Inc. common stock for $66 cash per shere
g. On October 30, received a check from MP Inc. for three months Interest on the notes purchased in part
Prepare journal entries to record the above transactions involving both the short-term and long-term investments of Cancun Corp..all
of which occurred during the current year (Use 360 days in a year. Do not round your intermediate calculations. Round your
answers to the nearest whole doller)
View bansaction list
Journal entry worksheet
<
1
2345
4 5 6 7
On February 13, paid $100,000 cash to purchase GM's 50-day short-term
notes at par, which are dated February 15 and pay 9% interest (classified at
held-to-maturity)
Note: Enter debits before credits.
Transaction
General Journal
Debit
Credit
View general journal
Record uitry
Clear entry
>
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