Iris Corporation makes an investment in 200 shares of Harolds Company’s common stock. The           stock is purchased for $40 a share plus brokerage fees of $425. Which of the following is the           correct entry for the purchase?  Cash  $8,000  Investments  - Harolds Company Stock $8,000  Investments – Harolds Company Stock $8,425  Cask $8,425  Investments -  Harolds Company Stock $8,000  Brokerage Fee Expense      425  Cash $8,425  ROCK Investments – Harolds Company Stock %8,000  Cash $8,000

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Iris Corporation makes an investment in 200 shares of Harolds Company’s common stock. The  

        stock is purchased for $40 a share plus brokerage fees of $425. Which of the following is the  

        correct entry for the purchase? 

  1. Cash  $8,000 

Investments  - Harolds Company Stock $8,000 

  1. Investments – Harolds Company Stock $8,425 

Cask $8,425 

  1. Investments -  Harolds Company Stock $8,000 

Brokerage Fee Expense      425 

Cash $8,425 

  1. ROCK Investments – Harolds Company Stock %8,000 

Cash $8,000 

 

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