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Entries for equity investments: less than 20% ownership Quan Corp. manufactures construction equipment. Journalize the entries to record the following selected equity investment transactions completed by Quan during method. Feb. 2 Mar. 6 June 7 July 26 Sept. 25 Dec. 31 Purchased for cash 3,100 shares of Celeste Inc.'s common stock for $32 per share plus a $124 brokerage commission. Celeste Inc. has 80,000 shares of common stock outstanding. Received dividends of $0.45 per share on Celeste Inc. stock. Purchased 1,400 shares of Celeste Inc. stock for $38 per share plus a $56 brokerage commission. Sold 4,000 shares of Celeste Inc. stock for $41 per share less a $100 brokerage commission. Quan assumes that the first investments purchased are the first investments sold. Received dividends of $0.62 per share on Celeste Inc. stock. At the end of the accounting period, the fair value of the remaining 500 shares of Celeste Inc. stock was $20,720. recent year using the fair value

Entries for equity investments: less than 20% ownership Quan Corp. manufactures construction equipment. Journalize the entries to record the following selected equity investment transactions completed by Quan during method. Feb. 2 Mar. 6 June 7 July 26 Sept. 25 Dec. 31 Purchased for cash 3,100 shares of Celeste Inc.'s common stock for $32 per share plus a $124 brokerage commission. Celeste Inc. has 80,000 shares of common stock outstanding. Received dividends of $0.45 per share on Celeste Inc. stock. Purchased 1,400 shares of Celeste Inc. stock for $38 per share plus a $56 brokerage commission. Sold 4,000 shares of Celeste Inc. stock for $41 per share less a $100 brokerage commission. Quan assumes that the first investments purchased are the first investments sold. Received dividends of $0.62 per share on Celeste Inc. stock. At the end of the accounting period, the fair value of the remaining 500 shares of Celeste Inc. stock was $20,720. recent year using the fair value

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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July 26 Sold 4,000 shares of Celeste Inc. stock for $41 per share less a $100 brokerage commission. Quan assumes that the first investments purchased are the first investments sold. Sept. 25 Received dividends of $0.62 per share on Celeste Inc. stock. Dec. 31 At the end of the accounting period, the fair value of the remaining 500 shares of Celeste Inc. stock was $20,720. If an amount box does not require an entry, leave it blank. When required, round final answers to the nearest dollar. Feb. 2 Mar. 6 June 7 July 26 Sept. 25 Dec. 31 Investments-Celeste Inc. Stock ✔ Cash ✔ Cash ✔ Dividend Revenue ✓✔ Investments-Celeste Inc. Stock ✔ Cash ✔ Cash ✔ Gain on Sale of Investments X Investments-Celeste Inc. Stock ✔ Cash ✔ Dividend Revenue ✔ Valuation Allowance for Equity Investments ✔ Unrealized Gain on Equity Investments ✔ 99,324 ✓ 1,395 ✓ 53,256 ✓ 163,900 310 ✓ 20,720 X 99,324 1,395 53,256 30,340 133,560 310 ✓ 20,720 X
Transcribed Image Text:July 26 Sold 4,000 shares of Celeste Inc. stock for $41 per share less a $100 brokerage commission. Quan assumes that the first investments purchased are the first investments sold. Sept. 25 Received dividends of $0.62 per share on Celeste Inc. stock. Dec. 31 At the end of the accounting period, the fair value of the remaining 500 shares of Celeste Inc. stock was $20,720. If an amount box does not require an entry, leave it blank. When required, round final answers to the nearest dollar. Feb. 2 Mar. 6 June 7 July 26 Sept. 25 Dec. 31 Investments-Celeste Inc. Stock ✔ Cash ✔ Cash ✔ Dividend Revenue ✓✔ Investments-Celeste Inc. Stock ✔ Cash ✔ Cash ✔ Gain on Sale of Investments X Investments-Celeste Inc. Stock ✔ Cash ✔ Dividend Revenue ✔ Valuation Allowance for Equity Investments ✔ Unrealized Gain on Equity Investments ✔ 99,324 ✓ 1,395 ✓ 53,256 ✓ 163,900 310 ✓ 20,720 X 99,324 1,395 53,256 30,340 133,560 310 ✓ 20,720 X
Entries for equity investments: less than 20% ownership Quan Corp. manufactures construction equipment. Journalize the entries to record the following selected equity investment transactions completed by Quan during a recent year using the fair value method. Feb. 2 Mar. 6 June 7 July 26 Sept. 25 Dec. 31 Purchased for cash 3,100 shares of Celeste Inc.'s common stock for $32 per share plus a $124 brokerage commission. Celeste Inc. has 80,000 shares of common stock outstanding. Received dividends of $0.45 per share on Celeste Inc. stock. Purchased 1,400 shares of Celeste Inc. stock for $38 per share plus a $56 brokerage commission. Sold 4,000 shares of Celeste Inc. stock for $41 per share less a $100 brokerage commission. Quan assumes that the first investments purchased are the first investments sold. Received dividends of $0.62 per share on Celeste Inc. stock. At the end of the accounting period, the fair value of the remaining 500 shares of Celeste Inc. stock was $20,720.
Transcribed Image Text:Entries for equity investments: less than 20% ownership Quan Corp. manufactures construction equipment. Journalize the entries to record the following selected equity investment transactions completed by Quan during a recent year using the fair value method. Feb. 2 Mar. 6 June 7 July 26 Sept. 25 Dec. 31 Purchased for cash 3,100 shares of Celeste Inc.'s common stock for $32 per share plus a $124 brokerage commission. Celeste Inc. has 80,000 shares of common stock outstanding. Received dividends of $0.45 per share on Celeste Inc. stock. Purchased 1,400 shares of Celeste Inc. stock for $38 per share plus a $56 brokerage commission. Sold 4,000 shares of Celeste Inc. stock for $41 per share less a $100 brokerage commission. Quan assumes that the first investments purchased are the first investments sold. Received dividends of $0.62 per share on Celeste Inc. stock. At the end of the accounting period, the fair value of the remaining 500 shares of Celeste Inc. stock was $20,720.
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