Activet Corporation, a Canadian-based international company that follows IFRS, has the following securities in its portfolio of investments acquired for trading purposes and accounted for using the FV-NI method on December 31, 2019:

In 2020, Activet completed the following securities transactions:Mar. 1 Sold the 1,500 shares of David Jones Inc. common at $45 per share, less fees of $500.Apr. 1 Bought 700 shares of Oberto Ltd. common at $75 per share, plus fees of $1,300.

Activet Corporation?s portfolio of trading securities appeared as follows on December 31, 2020:

Instructions

Prepare the Activet Corporation general journal entries for the following, assuming the company does not recognize and report dividends and other components of investment gains and losses separately:

a. The December 31, 2019 adjusting entry

b. The sale of the David Jones Inc. shares

c. The purchase of the Oberto Ltd. shares

d. The December 31, 2020 adjusting entry

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Carrying Amount (before adjustment) Investments 1,500 shares of David Jones Inc., common 5,000 shares of Hearn Corp., common 400 shares of Alessandro Inc., preferred Fair Value $ 69,000 $ 71,500 180,000 60,000 175,000 $311,500 $305,600 Investments 5,000 shares of Hearn Corp., common 700 shares of Oberto Ltd., common 400 shares of Alessandro Inc., preferred Original Cost Fair Value $180,000 $175,000 60,000 58,000 $292,500 $283,400