During the fourth quarter of 2018, Harvestology, Inc. generated excess cash, which the company invested in equity securities as follows:

2018
Nov 17	Purchased 1,300 common shares as an investment in equity securities, paying $6 per share. Harvestology owns less than 10% of the outstanding stock in the companies in which it invests.
Dec 19	Received cash dividend of $0.28 per share on the equity securities.
Dec 31	Adjusted the equity securities to fair value of $4 per share.

Requirements

1. Open T-accounts for Cash (including its beginning balance of $21,000), Investment in Equity Securities, Dividend Revenue, and Unrealized Gain (Loss) on Equity Securities.

2. Journalize the foregoing transactions and post to the T-accounts.

3. Show how to report the short-term investment on Harvestology’s balance sheet at December 31, 2018.

4. Show how to report whatever should appear on Harvestology’s income statement for the year ended December 31, 2018.

5. Harvestology sold the equity securities for $6,500 on January 14, 2019. Journalize the sale.