Cheyenne Corp.purchased a put option on Sunland common shares on July 7,2021, for $110. The put option is for 190 shares, and the strike price is $28. The option expires on January 31, 2022. The following data are available with respect to the put option: Date Market Price of Sunland Shares Time Value of Put Option September 30, 2021 $30 per share $54 December 31, 2021 $29 per share 20 January 31, 2022 $31 per share Prepare the journal entries for Cheyenne Corp. for the following dates: (a) July 7, 2021-Investment in put option on Sunland shares. (b) September 30, 2021–Cheyenne Corp. prepares financial statements. (c) December 31, 2021-Cheyenne Corp. prepares financial statements. (d) January 31, 2022-Put option expires. (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 O for the amounts. Record journal entries in the order presented in the problem.) MacBook Air

Cheyenne Corp.purchased a put option on Sunland common shares on July 7,2021, for $110. The put option is for 190 shares, and the strike price is $28. The option expires on January 31, 2022. The following data are available with respect to the put option: Date Market Price of Sunland Shares Time Value of Put Option September 30, 2021 $30 per share $54 December 31, 2021 $29 per share 20 January 31, 2022 $31 per share Prepare the journal entries for Cheyenne Corp. for the following dates: (a) July 7, 2021-Investment in put option on Sunland shares. (b) September 30, 2021–Cheyenne Corp. prepares financial statements. (c) December 31, 2021-Cheyenne Corp. prepares financial statements. (d) January 31, 2022-Put option expires. (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 O for the amounts. Record journal entries in the order presented in the problem.) MacBook Air

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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