Presented below are two independent situations: (a) (b) Sheridan Inc. acquired 10% of the 417,000 shares of common stock of Schuberger Corporation at a total cost of $15 per share on June 17, 2022. On September 3, Schuberger declared and paid a $117,000 dividend. On December 31, Schuberger reported net income of $517,000 for the year. Pina Corporation obtained significant influence over Hunsaker Company by buying 30% of Hunsaker's 117,000 outstanding shares of common stock at a cost of $16 per share on January 1, 2022. On May 15, Hunsaker declared and paid a cash dividend of $117,000. On December 31, Hunsaker reported net income of $217,000 for the year. Prepare all necessary journal entries for 2022 for (a) Sheridan and (b) Pina. (List all debit entries before credit entries. If no entry is required, select "No entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record entries in the order presented in the problem.)

Presented below are two independent situations: (a) (b) Sheridan Inc. acquired 10% of the 417,000 shares of common stock of Schuberger Corporation at a total cost of $15 per share on June 17, 2022. On September 3, Schuberger declared and paid a $117,000 dividend. On December 31, Schuberger reported net income of $517,000 for the year. Pina Corporation obtained significant influence over Hunsaker Company by buying 30% of Hunsaker's 117,000 outstanding shares of common stock at a cost of $16 per share on January 1, 2022. On May 15, Hunsaker declared and paid a cash dividend of $117,000. On December 31, Hunsaker reported net income of $217,000 for the year. Prepare all necessary journal entries for 2022 for (a) Sheridan and (b) Pina. (List all debit entries before credit entries. If no entry is required, select "No entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record entries in the order presented in the problem.)

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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