On February 1. Mini Company purchased 1.000 shares (2% ownership) of Win Company common stock for $30 per share. The shares are classified as a short-term investment.On March 20, Mini Company sold 200 shares of Win stock for $5,800. Mini received a dividend of $1 per share on April 25. The fair value of the remaining stock is $26,400 onJune 30. The entry to record the appropriate fair value adjustment on June 30 would include a debit toO Urealzed Gain or Lass - Income in the amount of $2,400.57 167 pointsO Fair Value Adjustment -Stock in the amount of $2.400.O Unrealized Gain or Loss -Income in the amount of $3,600.O No gain or loss should be recorded because no adlitional shares were sold on June 30.58 L66 pointsThe Norfolk Pine Co purchased 10.000 shares of Peperomia Ginny, Inc. on July 1 at a cost of $18 per share. On December 1, Norfolk Pine sells 600 shares at a price of $20 pershare. Norfolk Pine's entry to record this transaction will include a0 debit to Common Stock for $12.000.O creditto Comman Stock for $10.800.O credit to Stock Investment for $10.B00.credit to Stock Investment for $12.000.

Journal entry shows the recording of the transactions during an accounting year and every…

On February 1. Mini Company purchased 1000 shares (2% ownership) of Win Company common stock for $30 per share. The shares are classified as a short-term investment. On March 20. Mini Company sold 200 shares of Win stock for $5.800. Mini received a dividend of $1 per share on April 25. The fair value of the remaining stock is $26,400 on June 30. The entry to record the appropriate fairvalue adjustment on June 30 would include a debit to O Uuraland Gain or Lass-Income in the amount of $2,400. 57 L47ps O Fair Value Adjustment-Stock in the amount of $2,400. O Uralized Gain or Loss-Income in the amount of $3.600 O No pain or loss should be recorded because no additional shares were sold on June 30. 58 Ld poira The Norfalk Pine Ca purchased 10.000 shares of Peperomia Ginny, Inc. on July 1ata cost of $18 per share. On December 1, Norfolk Pine sells 600 shares at a price of $20 per share Norfolk Pine's entry to record this transaction will include a O debit to Common Stock for $12.000. O gedit to Common Stork for $10 R00

On February 1. Mini Company purchased 1000 shares (2% ownership) of Win Company common stock for $30 per share. The shares are classified as a short-term investment. On March 20. Mini Company sold 200 shares of Win stock for $5.800. Mini received a dividend of $1 per share on April 25. The fair value of the remaining stock is $26,400 on June 30. The entry to record the appropriate fairvalue adjustment on June 30 would include a debit to O Uuraland Gain or Lass-Income in the amount of $2,400. 57 L47ps O Fair Value Adjustment-Stock in the amount of $2,400. O Uralized Gain or Loss-Income in the amount of $3.600 O No pain or loss should be recorded because no additional shares were sold on June 30. 58 Ld poira The Norfalk Pine Ca purchased 10.000 shares of Peperomia Ginny, Inc. on July 1ata cost of $18 per share. On December 1, Norfolk Pine sells 600 shares at a price of $20 per share Norfolk Pine's entry to record this transaction will include a O debit to Common Stock for $12.000. O gedit to Common Stork for $10 R00

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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