Question: On July 1 2016 Wolipack Corporation purchased securities which it
On July 1, 2016, Wolipack Corporation purchased securities which it intends to buy and sell frequently. These securities consisted of (a) Todd Corporation 10%, 5-ycar bonds with a face value of $20,000 which were purchased for $18,500 and (b) 300 shares of Cornett Company common stock which were purchased at $40 per share. Prepare the July 1 journal entry to record the purchase of these trading securities.
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