amarisk, Inc. had the following equity investment portfolio at January 1, 2020. Evers Company 950 shares @ $16 each $15,200 Rogers Company 910 shares @ $20 each 18,200 Chance Company 480 shares @ $8 each 3,840 Equity investments @ cost 37,240 Fair value adjustment (7,240 ) Equity investments @ fair value $30,000 During 2020, the following transactions took place. 1. On March 1, Rogers Company paid a $2 per share dividend. 2. On April 30, Tamarisk, Inc. sold 280 shares of Chance Company for $10 per share. 3. On May 15, Tamarisk, Inc. purchased 90 more shares of Evers Company stock at $17 per share. 4. At December 31, 2020, the stocks had the following price per share values: Evers $18, Rogers $19, and Chance $7. During 2021, the following transactions took place. 5. On February 1, Tamarisk, Inc. sold the remaining Chance shares for $7 per share. 6. On March 1, Rogers Company paid a $2 per share dividend. 7. On December 21, Evers Company declared a cash dividend of $3 per share to be paid in the next month. 8. At December 31, 2021, the stocks had the following price per share values: Evers $20 and Rogers $21. (a) Prepare journal entries for each of the above transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) No. Account Titles and Explanation Debit Credit (1) (2) (3) (4) (5) (6) (7) (8)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Tamarisk, Inc. had the following equity investment portfolio at January 1, 2020.

Evers Company	950 shares @ $16 each	$15,200
Rogers Company	910 shares @ $20 each	18,200
Chance Company	480 shares @ $8 each	3,840
Equity investments @ cost		37,240
Fair value adjustment		(7,240	)
Equity investments @ fair value		$30,000

During 2020, the following transactions took place.

1.		On March 1, Rogers Company paid a $2 per share dividend.
2.		On April 30, Tamarisk, Inc. sold 280 shares of Chance Company for $10 per share.
3.		On May 15, Tamarisk, Inc. purchased 90 more shares of Evers Company stock at $17 per share.
4.		At December 31, 2020, the stocks had the following price per share values: Evers $18, Rogers $19, and Chance $7.

During 2021, the following transactions took place.

5.		On February 1, Tamarisk, Inc. sold the remaining Chance shares for $7 per share.
6.		On March 1, Rogers Company paid a $2 per share dividend.
7.		On December 21, Evers Company declared a cash dividend of $3 per share to be paid in the next month.
8.		At December 31, 2021, the stocks had the following price per share values: Evers $20 and Rogers $21.

(a)

Prepare journal entries for each of the above transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

No.	Account Titles and Explanation	Debit	Credit
(1)

(2)


(3)

(4)

(5)


(6)

(7)

(8)

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