Sunland Company has the following portfolio of investment securities at September 30, 2025, its most recent reporting date.Investment SecuritiesHorton, Inc. common (5,120 shares)Monty, Inc. preferred (3,410 shares)Oakwood Corp. common (980 shares)Cost$230,400132,990179,340Fair Value$215,160139,570178,380On October 10, 2025, the Horton shares were sold at a price of $52 per share. In addition, 2,900 shares of Patriot common stock wereacquired at $54.00 per share on November 2, 2025. The December 31, 2025, fair values were Monty $104,170, Patriot $123,010, andOakwood $192,360.Prepare the journal entries to record the sale, purchase, and adjusting entries related to the equity securities in the last quarter of2025. None of these investments represents significant influence. The Fair Value Adjustment account has a zero balance prior toSeptember 30, 2025. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Donot indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Record journal entries in theorder presented in the problem.) DateAccount Titles and ExplanationDebitCredit

A journal entry is the act of recording any transaction, whether one that is economic or not. An…

Answered: Sunland Company has the following…

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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Stoll Company's long-term available-for-sale portfolio at the start of this year consists of the following. Available-for-Sale Securities Cost Fair Value Company A bonds $ 534,100 $ 492,000 Company B notes 159,140 155,000 Company C bonds 662,400 642,140 Stoll enters into the following transactions involving its available-for-sale debt securities this year. January 29 Sold one-half of the Company B notes for $78,820. July 6 Purchased Company X bonds for $122,100. November 13 Purchased Company Z notes for $267,300. December 9 Sold all of the Company A bonds for $524,800. Fair values at December 31 are B, $82,300; C, $603,800; X, $120,000; and Z, $276,000. Problem 15-3A (Algo) Part 1 and 2 Required:1. Prepare journal entries to record these transactions, including the December 31 adjusting entry to record the fair value adjustment for the long-term investments in available-for-sale securities.2. Determine the amount Stoll reports on its December 31…
McElroy Company has the following portfolio of investment securities at September 30, 2020, its most recent reporting date. Investment Securities Cost Fair Value Horton, Inc. common (5,000 shares) $215,000 $200,000 Monty, Inc. preferred (3,500 shares) 133,000 140,000 Oakwood Corp. common (1,000 shares) 180,000 179,000 On October 10, 2020, the Horton shares were sold at a price of $54 per share. In addition, 3,000 shares of Patriot common stock were acquired at $54.50 per share on November 2, 2020. The December 31, 2020, fair values were Monty $106,000, Patriot $132,000, and Oakwood $193,000. Instructions Prepare the journal entries to record the sale, purchase, and adjusting entries related to the equity securities in the last quarter of 2020.
Please help with D calculations.
At January 1, 2021, Canaday Corporation had outstanding the following securities:700 million common shares20 million 8% cumulative preferred shares, $50 par6.4% convertible bonds, $3,500 million face amount, convertible into 70 million common shares The following additional information is available: On September 1, 2021, Canaday sold 75 million additional shares of common stock. Incentive stock options to purchase 50 million shares of common stock after July 1, 2020, at $10 per share, were outstanding at the beginning and end of 2021. The average market price of Canaday’s common stock was $20 per share during 2021. Canaday's net income for the year ended December 31, 2021, was $2,370 million. The effective income tax rate was 25%. Required:1. & 2. Calculate basic and the diluted earnings per common share for the year ended December 31, 2021.
at December 31, 2020, Proof Company had 450 000 shares of ordinary shares outstanding. On September 1, 2021, an additional 150 000 shares of ordinary shares were issued. in addition, Proof had P10 000 000 of 6% convertible bonds outstanding at December 31, 2020, which are convertible into 300,000 shares of ordinary shares. the carrying value of the bonds as of December 31, 2020 and based on a rate of 8% is P9 205 800. no bonds were converted into ordinary shares in 2021. the net income for the year ended December 31, 2021 was P3 750 000. assuming the income tax rate was 32%, what should be the diluted earnings per share for the year ended December 31, 2021 of Proof Company?a.5.20b.5.44c.5.31d.7.50
Sheffield Inc. issued $15,200,000 of 12%, 40-year convertible bonds on November 1, 2025, at 97 plus accrued interest. The bonds were dated July 1, 2025, with interest payable January 1 and July 1. Bond discount (premium) is amortized semiannually on a straight- line basis. On July 1, 2026, one-half of these bonds were converted into 56,000 shares of $1 par value common stock. Accrued interest was paid in cash at the time of conversion. (a) (b) Prepare the entry to record the interest expense at December 31, 2025. Assume that accrued interest payable was credited when the bonds were issued. Credit Interest Payable for the full amount due; debit Interest Payable for the amount recognized at insurance. (Round to nearest dollar.) (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Round answers to O decimal place, e.g. 5,125. List all debit entries…
Stoll Co.'s long-term available-for-sale portfolio at the start of this year consists of the following. Available-for-Sale Securities Cost Fair Value Company A bonds $ 534,900 $ 492,000 Company B notes 159,290 145,000 Company C bonds 662,500 641,740 Stoll enters into the following transactions involving its available-for-sale debt securities this year. Jan. 29 Sold one-half of the Company B notes for $78,130. July 6 Purchased bonds of Company X for $125,100. Nov. 13 Purchased notes of Company Z for $268,000. Dec. 9 Sold all of the bonds of Company A for $515,300. The fair values at December 31 are B, $80,300; C, $606,800; X, $101,000; and Z, $271,000. Required:1. Prepare journal entries to record these transactions, including the December 31 adjusting entry to record the fair value adjustment for the long-term investments in available-for-sale securities.2. Determine the amount Stoll reports on its December 31 balance…
Windsor Inc. issued $3,840,000 of 11%, 10-year convertible bonds on June 1, 2020, at 99 plus accrued interest. The bonds were dated April 1, 2020, with interest payable April 1 and October 1. Bond discount is amortized semiannually on a straight-line basis.On April 1, 2021, $1,440,000 of these bonds were converted into 36,000 shares of $18 par value common stock. Accrued interest was paid in cash at the time of conversion. (a) Prepare the entry to record the interest expense at October 1, 2020. Assume that accrued interest payable was credited when the bonds were issued. (b) Prepare the entry to record the conversion on April 1, 2021. (Book value method is used.) Assume that the entry to record amortization of the bond discount and interest payment has been made.
A company has outstanding 366 $1,000 bonds, each convertible into 28 shares of $12 par value common stock. The bonds are converted on December 31, 2020, when the unamortized premium is $170,000 and the market price of the stock is $30 per share. For the journal entry made for the conversion, how much is Paid-in Capital in Excess of Par – c/s?
Stoll Company's long-term available-for-sale portfolio at the start of this year consists of the following. Available-for-Sale Securities Cost Fair Value Company A bonds $ 534,100 $ 492,000 Company B notes 159,140 155,000 Company C bonds 662,400 642,140 Stoll enters into the following transactions involving its available-for-sale debt securities this year. January 29 Sold one-half of the Company B notes for $78,820. July 6 Purchased Company X bonds for $122,100. November 13 Purchased Company Z notes for $267,300. December 9 Sold all of the Company A bonds for $524,800. Fair values at December 31 are B, $82,300; C, $603,800; X, $120,000; and Z, $276,000. Problem 15-3A (Algo) Part 3 3. What amount of gains or losses on transactions relating to long-term investments in available-for-sale debt securities does Stoll report on its income statement for this year?
On May 2020 GSW was organized with 3,000,000 authorized shares of P10 par value ordinary shares, and 300,000 of its ordinary shares were issued for P3,300,000. Net income through December 31, 2020 was P125,000. On July 23, 2021, when the shares were selling at P13 per share, GSW issued 500,000 of its ordinary shares in exchange of a real estate properties which were fairly valued at P6,250,000. A 5% share dividend was declared on October 2, 2021, to shareholders of record on October 23, 2021. The market value of the ordinary shares was P11 per share on the declaration date. GSW net income for the year ended December 31, 2021 was P350,000. During 2022, GSW had the following transactions: In February, GSW reacquired 15,000 of its treasury shares for P12 per share. In June, GSW sold 15,000 of its treasury shares for P12 per share. In September, each shareholder was issued (for each share held) one right to purchase two additional ordinary shares for P13 per share. The rights shall expire…
At January 1, 2021, Canaday Corporation had outstanding the following securities:760 million common shares20 million 6% cumulative preferred shares, $50 par6.4% convertible bonds, $3,000 million face amount, convertible into 90 million common shares The following additional information is available: On September 1, 2021, Canaday sold 81 million additional shares of common stock. Incentive stock options to purchase 50 million shares of common stock after July 1, 2020, at $10 per share, were outstanding at the beginning and end of 2021. The average market price of Canaday’s common stock was $20 per share during 2021. Canaday's net income for the year ended December 31, 2021, was $2,194 million. The effective income tax rate was 25%. Required:1. & 2. Calculate basic and the diluted earnings per common share for the year ended December 31, 2021. (Round "Earnings per share" answers to 2 decimal places. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).)

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