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Gardens, Inc. invests its excess cash in Innovative Technologies, Inc. and acquires 2,700 shares for $29.50 per share. Garden, Inc. owns less than 5% of Innovative's voting stock and plans to hold the stock for two years. Which of the following is the correct journal entry for the transaction? O Equity Investments 79,650 Cash O Common Stock - Gardens Cash O Cash Equity Investments O Cash Common Stock - Gardens 79,650 79,650 79,650 79,650 79,650 79,650 79,650

Gardens, Inc. invests its excess cash in Innovative Technologies, Inc. and acquires 2,700 shares for $29.50 per share. Garden, Inc. owns less than 5% of Innovative's voting stock and plans to hold the stock for two years. Which of the following is the correct journal entry for the transaction? O Equity Investments 79,650 Cash O Common Stock - Gardens Cash O Cash Equity Investments O Cash Common Stock - Gardens 79,650 79,650 79,650 79,650 79,650 79,650 79,650

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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Gardens, Inc. invests its excess cash in Innovative Technologies, Inc. and acquires 2,700 shares for $29.50 per share. Garden, Inc. owns less than 5% of Innovative's voting stock and plans to hold the stock for two years. Which of the following is the correct journal entry for the transaction? Equity Investments 79,650 Cash Common Stock - Gardens Cash Cash Equity Investments Cash Common Stock - Gardens 79,650 79,650 79,650 79,650 79,650 79,650 79,650
Transcribed Image Text:Gardens, Inc. invests its excess cash in Innovative Technologies, Inc. and acquires 2,700 shares for $29.50 per share. Garden, Inc. owns less than 5% of Innovative's voting stock and plans to hold the stock for two years. Which of the following is the correct journal entry for the transaction? Equity Investments 79,650 Cash Common Stock - Gardens Cash Cash Equity Investments Cash Common Stock - Gardens 79,650 79,650 79,650 79,650 79,650 79,650 79,650
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