Question: During the fourth quarter of 2014 Beachwear Sales Inc generated

During the fourth quarter of 2014, Beachwear Sales, Inc., generated excess cash, which the company invested in trading securities:
2014
Nov 17 Purchased 2,100 common shares as an investment in trading securities, paying $11 per share.
Dec 19 Received cash dividend of $0.47 per share on the trading securities.
Dec 31 Adjusted the trading securities to fair value of $9 per share.

Requirements
1. Open T-accounts for Cash (including its beginning balance of $29,000), Investment in Trading Securities, Dividend Revenue, and Unrealized Gain (Loss) on Trading Securities.
2. Journalize the foregoing transactions and post to the T-accounts.


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  • CreatedJuly 25, 2014
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