Concord Limited, a public company that follows IFRS and has a calendar year end, made the following purchases of investments in 2023. Concord intends to sell these investments to earn short-term profits from appreciation in their prices and accounts for the investments using the FV-NI model. This is the first year in which Concord invested in equity securities: 1. 2. On March 20, purchased 5,400 shares of Wu Inc. common shares at $29 per share plus commission of $450. On August 15, purchased 3,100 shares of Xi Inc. common shares at $27 per share plus commission of $400. On June 30, Concord sold 3,240 shares of Wu Inc. at $31 less commission of $660. The December 31, 2023 market value of the Wu shares was $32 and of the Xi shares was $26. Show Transcribed Text Repeat part (a) assuming the investments are accounted for using FV-OCI without recycling. Concord's policy is to capitalize transaction costs on the acquisition of FV-OCI investments. (Credit account titles are automatically indented when the 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 entries in the order displayed in the problem statement. List all debit entries before credit entries.)
Concord Limited, a public company that follows IFRS and has a calendar year end, made the following purchases of investments in 2023. Concord intends to sell these investments to earn short-term profits from appreciation in their prices and accounts for the investments using the FV-NI model. This is the first year in which Concord invested in equity securities: 1. 2. On March 20, purchased 5,400 shares of Wu Inc. common shares at $29 per share plus commission of $450. On August 15, purchased 3,100 shares of Xi Inc. common shares at $27 per share plus commission of $400. On June 30, Concord sold 3,240 shares of Wu Inc. at $31 less commission of $660. The December 31, 2023 market value of the Wu shares was $32 and of the Xi shares was $26. Show Transcribed Text Repeat part (a) assuming the investments are accounted for using FV-OCI without recycling. Concord's policy is to capitalize transaction costs on the acquisition of FV-OCI investments. (Credit account titles are automatically indented when the 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 entries in the order displayed in the problem statement. List all debit entries before credit entries.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Vinubhai
Transcribed Image Text:Concord Limited, a public company that follows IFRS and has a calendar year end, made the following purchases of investments in
2023. Concord intends to sell these investments to earn short-term profits from appreciation in their prices and accounts for the
investments using the FV-NI model. This is the first year in which Concord invested in equity securities:
1.
2.
On March 20, purchased 5,400 shares of Wu Inc. common shares at $29 per share plus commission of $450.
On August 15, purchased 3,100 shares of Xi Inc. common shares at $27 per share plus commission of $400.
On June 30, Concord sold 3,240 shares of Wu Inc. at $31 less commission of $660.
The December 31, 2023 market value of the Wu shares was $32 and of the Xi shares was $26.
Show Transcribed Text
Repeat part (a) assuming the investments are accounted for using FV-OCI without recycling. Concord's policy is to capitalize
transaction costs on the acquisition of FV-OCI investments. (Credit account titles are automatically indented when the 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 entries
in the order displayed in the problem statement. List all debit entries before credit entries.)
Date
Mar. 20, 2023
Aug. 15, 2023
Account Titles and Explanation
FV-OCI Investments
Cash
Cash
Debit
Credit
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