QUESTION 3Entity A invested in 3,386,000 shares of a listed company on 1 October 2023 at a cost of $3.68 per share.On 31 December 2023, the shares had a market value of $6.94 per share.Entity A is not planning on selling these shares in the short term and elects to hold them as Fair Value through Other Comprehensive Income.REQUIRED:(1) Measure the amounts of the financial asset recognised in the Statement of Financial Position on 31 December 2023.(2) Measure the amounts recognised in the Statement of Profit or Loss for the financial asset of the year 2023.(3) Measure the amounts of the Fair Value Reserve recognised in the Statement of Financial Position on 31 December 2023.ANSWERS:(1) The answer = $(2) The answer = $(3) The answer = $(If it is a gain of $10, enter 10. If it is a loss of $10, enter -10.)

Balance sheet stands for the statement and information that shows the assets and liabilities of the…

Answered: Entity A invested in 3,386,000 shares…

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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