5.4 Unrelated to the above: On December 31, 2018, Rose Corporation purchased 9,000 shares of Lupin...
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5.4 Unrelated to the above: On December 31, 2018, Rose Corporation purchased 9,000 shares of Lupin Corp.'s common shares at $30 per share plus commission of $2,000. This is the first year in which the company invested in equity securities. On December 15, 2019, Lupin Corp declared and paid a dividend of $0.80 On December 31, 2019, the year-end fair value per Lupin share was $32. Then, on February 20, 2020, Rose sold its investment in Lupin common shares for $310,000 cash. рer share. Instructions Prepare the necessary journal entries in regard to the investment in Lupin for 2020 assuming that Rose Corporation follows IFRS 9 and accounts for this investment using FV-OCI with no recycling. Rose's policy is to capitalize transaction costs on FV-OCI investments. STATES) 5.4 Unrelated to the above: On December 31, 2018, Rose Corporation purchased 9,000 shares of Lupin Corp.'s common shares at $30 per share plus commission of $2,000. This is the first year in which the company invested in equity securities. On December 15, 2019, Lupin Corp declared and paid a dividend of $0.80 On December 31, 2019, the year-end fair value per Lupin share was $32. Then, on February 20, 2020, Rose sold its investment in Lupin common shares for $310,000 cash. рer share. Instructions Prepare the necessary journal entries in regard to the investment in Lupin for 2020 assuming that Rose Corporation follows IFRS 9 and accounts for this investment using FV-OCI with no recycling. Rose's policy is to capitalize transaction costs on FV-OCI investments. STATES)
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Related Book For
Intermediate Accounting IFRS
ISBN: 978-1119372936
3rd edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
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