Here is Pharoah Company's portfolio of long-term stock investments at December 31, 2021, the end of its first year of operations. Cost 1,300 shares of Batone Inc. common stock $67,340 1,200 shares of Mendez Corporation common stock 76,800 830 shares of P. Tillman Corporation preferred stock 38,180 On December 31, the total cost of the portfolio equaled the total fair value. Pharoah had the following transactions related to the securities during 2022. Jan. 20 Sold 1,300 shares of Batone Inc. common stock at $54 per share. 28 30 Purchased 390 shares of $10 par value common stock of P. Wahl Corporation at $77 per share. Received a cash dividend of $1.16 per share on Mendez Corporation common stock. Feb. 8 18 Received cash dividends of $0.40 per share on P. Tillman Corporation preferred stock. Sold all 830 shares of P. Tillman preferred stock at $36 per share. July 30 Sept. 6 Received a cash dividend of $1.20 per share on Mendez Corporation common stock. Purchased an additional 660 shares of the $10 par value common stock of P. Wahl Corporation at $89 per share. Dec. 1 Received a cash dividend of $1.40 per share on P. Wahl Corporation common stock. At December 31, 2022, the fair values of the securities were: Mendez Corporation common stock $59 per share P. Wahl Corporation common stock $76 per share Pharoah uses separate account titles for each investment, such as Investment in Mendez Corporation Common STOCK.
Here is Pharoah Company's portfolio of long-term stock investments at December 31, 2021, the end of its first year of operations. Cost 1,300 shares of Batone Inc. common stock $67,340 1,200 shares of Mendez Corporation common stock 76,800 830 shares of P. Tillman Corporation preferred stock 38,180 On December 31, the total cost of the portfolio equaled the total fair value. Pharoah had the following transactions related to the securities during 2022. Jan. 20 Sold 1,300 shares of Batone Inc. common stock at $54 per share. 28 30 Purchased 390 shares of $10 par value common stock of P. Wahl Corporation at $77 per share. Received a cash dividend of $1.16 per share on Mendez Corporation common stock. Feb. 8 18 Received cash dividends of $0.40 per share on P. Tillman Corporation preferred stock. Sold all 830 shares of P. Tillman preferred stock at $36 per share. July 30 Sept. 6 Received a cash dividend of $1.20 per share on Mendez Corporation common stock. Purchased an additional 660 shares of the $10 par value common stock of P. Wahl Corporation at $89 per share. Dec. 1 Received a cash dividend of $1.40 per share on P. Wahl Corporation common stock. At December 31, 2022, the fair values of the securities were: Mendez Corporation common stock $59 per share P. Wahl Corporation common stock $76 per share Pharoah uses separate account titles for each investment, such as Investment in Mendez Corporation Common STOCK.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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answer question b
Transcribed Image Text:Here is Pharoah Company's portfolio of long-term stock investments at December 31, 2021, the end of its first year of
operations.
Cost
1,300 shares of Batone Inc. common stock
$67,340
1,200 shares of Mendez Corporation common stock
830 shares of P. Tillman Corporation preferred stock
76,800
38,180
On December 31, the total cost of the portfolio equaled the total fair value. Pharoah had the following transactions
related to the securities during 2022.
Jan.
20
Sold 1,300 shares of Batone Inc. common stock at $54 per share.
28
Purchased 390 shares of $10 par value common stock of P. Wahl Corporation at $77 per share.
30
Received a cash dividend of $1.16 per share on Mendez Corporation common stock.
Feb.
8
18
Received cash dividends of $0.40 per share on P. Tillman Corporation preferred stock.
Sold all 830 shares of P. Tillman preferred stock at $36 per share.
July
30
Received a cash dividend of $1.20 per share on Mendez Corporation common stock.
Sept. 6
Dec. 1
Purchased an additional 660 shares of the $10 par value common stock of P. Wahl Corporation at $89
per share.
Received a cash dividend of $1.40 per share on P. Wahl Corporation common stock.
At December 31, 2022, the fair values of the securities were:
Mendez Corporation common stock
$59 per share
P. Wahl Corporation common stock
$76 per share
Pharoah uses separate account titles for each investment, such as Investment in Mendez Corporation Common Stock.
Transcribed Image Text:(b)
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Prepare the adjusting entry at December 31, 2022, to report the portfolio at fair value. (Credit account titles are
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account titles and enter O for the amounts.)
Date Account Titles and Explanation
Dec.
31
Debit
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