On January 5, 2020, Splish Brothers Company purchased the following stock securities: 282 shares Bonter Corporation common stock for $4,230. 470 shares Wane Corporation common stock for $9,400. 752 shares Strauss Corporation common stock for $21,432. Assume that Splish Brothers Company cannot exercise significant influence over the activities of the investee companies and that the cost method is used to account for the investments. On June 30, 2020, Splish Brothers Company received the following cash dividends: Bonter Corporation$2.00 per share Wane Corporation$1.00 per share Strauss Corporation$1.50 per share On November 15, 2020, Splish Brothers Company sold 156 shares of Strauss Corporation common stock for $7,020. On December 31, 2020, the fair value of the securities held by Splish Brothers Company is as follows: Bonter Corporation common stock $10 Wane Corporation common stock 16 Strauss Corporation common stock 28
On January 5, 2020, Splish Brothers Company purchased the following stock securities: 282 shares Bonter Corporation common stock for $4,230. 470 shares Wane Corporation common stock for $9,400. 752 shares Strauss Corporation common stock for $21,432. Assume that Splish Brothers Company cannot exercise significant influence over the activities of the investee companies and that the cost method is used to account for the investments. On June 30, 2020, Splish Brothers Company received the following cash dividends: Bonter Corporation$2.00 per share Wane Corporation$1.00 per share Strauss Corporation$1.50 per share On November 15, 2020, Splish Brothers Company sold 156 shares of Strauss Corporation common stock for $7,020. On December 31, 2020, the fair value of the securities held by Splish Brothers Company is as follows: Bonter Corporation common stock $10 Wane Corporation common stock 16 Strauss Corporation common stock 28
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
On January 5, 2020, Splish Brothers Company purchased the following stock securities:
282 shares Bonter Corporation common stock for $4,230.
470 shares Wane Corporation common stock for $9,400.
752 shares Strauss Corporation common stock for $21,432.
Assume that Splish Brothers Company cannot exercise significant influence over the activities of the investee companies and that the cost method is used to account for the investments.
On June 30, 2020, Splish Brothers Company received the following cash dividends:
On June 30, 2020, Splish Brothers Company received the following cash dividends:
Bonter Corporation$2.00 per share
Wane Corporation$1.00 per share
Strauss Corporation$1.50 per share
On November 15, 2020, Splish Brothers Company sold 156 shares of Strauss Corporation common stock for $7,020.
On December 31, 2020, the fair value of the securities held by Splish Brothers Company is as follows:
On December 31, 2020, the fair value of the securities held by Splish Brothers Company is as follows:
Bonter Corporation common stock
$10
Wane Corporation common stock
16
Strauss Corporation common stock
28 
Transcribed Image Text:Prepare the appropriate journal entries that Splish
Brothers Company should make during 2020 to
account for the company's stock portfolio. (Credit
account titles are automatically indented when
the amount is entered. Do not indent manually.
Record journal entries in the order presented in
the problem. List all debit entries before credit
entries.)
Date Account Titles and Explanation
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