During the year ended December 31, 2024, Mead Investment Corporation, a public company, had the following transactions

Question:

During the year ended December 31, 2024, Mead Investment Corporation, a public company, had the following transactions related to investments held for trading:

Feb. 1 Purchased 2,400 Lemelin common shares for $63,600.

Mar. 1 Purchased 600 RSD common shares for $7,500.

Apr. 1 Purchased $100,000 of MRT 4% bonds at par. Interest is payable semi-annually on April 1 and October 1.

July 1 Received a cash dividend of $2 per share on the Lemelin common shares.

Aug. 1 Sold 1,600 Lemelin common shares at $25 per share.

Oct. 1 Received the semi-annual interest on the MRT bonds.

2 Sold the MRT bonds for 101.

Dec. 31 The fair values of the Lemelin and RSD common shares were $28 and $14 per share, respectively.

Instructions

a. Record the transactions and any required year-end adjusting entries.

b. Show the financial statement presentation of the trading investments and any related accounts in Mead’s financial statements for the year ended December 31, 2024.

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a b Feb 1 Investments at FVTPL Cash To record purchase of invest...View the full answer

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Question Posted: Jan 26, 2023 07:01 AM

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During the year ended December 31, 2024, Mead Investment Corporation, a public company, had the following transactions

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a b Feb 1 Investments at FVTPL Cash To record purchase of invest...View the full answer

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