Required information [The following information applies to the questions displayed below.] a. On March 22, purchased 850 shares of RPI Company stock at $11 per share. Duke's stock investment results in it having an insignificant influence over RPI. b. On July 1, received a $3 per share cash dividend on the RPI stock purchased in part a. c. On October 8, sold 425 shares of RPI stock for $21 per share. epare journal entries to record the given transactions involving the short-term stock investments of Duke Company, all of which curred during the current year. View transaction list Journal entry worksheet

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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**Journal Entries for Duke Company's Short-Term Stock Investments**

**Required Information:**

*The following information applies to the questions displayed below.*

a. On March 22, purchased 850 shares of RPI Company stock at $11 per share. Duke’s stock investment results in it having an insignificant influence over RPI.

b. On July 1, received a $3 per share cash dividend on the RPI stock purchased in part a.

c. On October 8, sold 425 shares of RPI stock for $21 per share.

**Instructions:**

Prepare journal entries to record the given transactions involving the short-term stock investments of Duke Company, all of which occurred during the current year.

**Journal Entry Worksheet:**

1. **Transaction a:**
   - On March 22, purchased 850 shares of RPI Company stock at $11 per share. Duke’s stock investment results in it having an insignificant influence over RPI.
   - *Note: Enter debits before credits.*

   | Transaction | General Journal | Debit | Credit |
   |-------------|------------------|-------|--------|
   | a.          |                  |       |        |

**Buttons:**
- Record entry
- Clear entry
- View general journal

*Navigation: Prev (1 of 6) Next*

**Note:** The worksheet is intended for entering and reviewing financial transactions systematically, reflecting the purchase and sale of stocks, as well as the receipt of dividends.
Transcribed Image Text:**Journal Entries for Duke Company's Short-Term Stock Investments** **Required Information:** *The following information applies to the questions displayed below.* a. On March 22, purchased 850 shares of RPI Company stock at $11 per share. Duke’s stock investment results in it having an insignificant influence over RPI. b. On July 1, received a $3 per share cash dividend on the RPI stock purchased in part a. c. On October 8, sold 425 shares of RPI stock for $21 per share. **Instructions:** Prepare journal entries to record the given transactions involving the short-term stock investments of Duke Company, all of which occurred during the current year. **Journal Entry Worksheet:** 1. **Transaction a:** - On March 22, purchased 850 shares of RPI Company stock at $11 per share. Duke’s stock investment results in it having an insignificant influence over RPI. - *Note: Enter debits before credits.* | Transaction | General Journal | Debit | Credit | |-------------|------------------|-------|--------| | a. | | | | **Buttons:** - Record entry - Clear entry - View general journal *Navigation: Prev (1 of 6) Next* **Note:** The worksheet is intended for entering and reviewing financial transactions systematically, reflecting the purchase and sale of stocks, as well as the receipt of dividends.
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