Quan Corp. manufactures construction equipment. Feb. 2 Purchased for cash 3,100 shares of Celeste Inc.'s common stock for $32 per share plus a $124 3.1 brokerage commission. Celeste Inc. has 80.000 shares of common stock outstanding. Mar. Received dividends of $0.45 per share on Celeste Inc. stock. June 7 Purchased 1.400 shares of Celeste Inc. stock for $38 per share plus a $56 brokerage commission. July 26 Sold 4,000 shares of Celeste Inc. stock for $41 per share less a $100 brokerage commission. Quan assumes that the first investments purchased are the first investments sold. Sept. 25 Received dividends of $0.62 per share on Celeste Inc. stook. At the end of the accounting period, the fair value of the remaining 500 shares of Celeste Inc. stock was Dec. 31 S20,720. Required: Journalize the entries to record the above selected equity investment transactions compieted by Quan during a recent year using the fair value method. Refer to the chart of accounta for the exact wording of the account titles CNOW joumals do not use lines for joumai explanations. Every line on a journal page is used for debit or credit entries. CNOW joumais will automatically indent a credit entry when a credit amount is entered. Round your intermediate calculations to two decimal places. When required, round final answers to the nearest dollar.
Quan Corp. manufactures construction equipment. Feb. 2 Purchased for cash 3,100 shares of Celeste Inc.'s common stock for $32 per share plus a $124 3.1 brokerage commission. Celeste Inc. has 80.000 shares of common stock outstanding. Mar. Received dividends of $0.45 per share on Celeste Inc. stock. June 7 Purchased 1.400 shares of Celeste Inc. stock for $38 per share plus a $56 brokerage commission. July 26 Sold 4,000 shares of Celeste Inc. stock for $41 per share less a $100 brokerage commission. Quan assumes that the first investments purchased are the first investments sold. Sept. 25 Received dividends of $0.62 per share on Celeste Inc. stook. At the end of the accounting period, the fair value of the remaining 500 shares of Celeste Inc. stock was Dec. 31 S20,720. Required: Journalize the entries to record the above selected equity investment transactions compieted by Quan during a recent year using the fair value method. Refer to the chart of accounta for the exact wording of the account titles CNOW joumals do not use lines for joumai explanations. Every line on a journal page is used for debit or credit entries. CNOW joumais will automatically indent a credit entry when a credit amount is entered. Round your intermediate calculations to two decimal places. When required, round final answers to the nearest dollar.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Quan Corp. manufactures construction equipment.
Feb.
2
Purchased for cash 3,100 shares of Celeste Inc.'s common stock for $32 per share plus a $124
brokerage commission. Celeste Inc. has 80,000 shares of common stock outstanding.
Mar.
Received dividends of $0.45 per share on Celeste Inc. stock.
June
7
Purchased 1,400 shares of Celeste Inc. stock for $38 per share plus a S56 brokerage commission.
July
26
Sold 4,000 shares of Celeste Inc. stock for $41 per share less a $100 brokerage commission. Quan
assumes that the first investments purchased are the first investments sold.
Sept.
25
Received dividends of $0.62 per share on Celeste Inc. stock.
Dec.
31
At the end of the accounting period, the fair value of the remaining 500 shares of Celeste Inc. stock was
$20,720.
Required:
Journalize the entries to record the above selected equity investment transactions completed by Quan during a recent year using the fair value
method. Refer to the chart of accounts for the exact wording of the account titiles. CNOW jourmals do not use lines for journal explanations. Every
line on a journal page is used for debit or credit entries. CNOW joumals will automatically indent a credit entry when a credit amount is entered.
Round your intermediate calculations to two decimal places. When required, round final answers to the nearest dollar.
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