Akbar Enterprises was owning the following short term equity investments in the shares of joint stock...

 

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Akbar Enterprises was owning the following short term equity investments in the shares of joint stock companies listed on Islamabad Stock Exchange:- 1) 4,000 shares of Rs. 1,000 each par value purchased at Rs. 130 each of Kohat Cement Company which have market value of Rs. 150 each as on 30 June, 2020. 2) 2,500 shares of Rs. 50 each par value purchased at Rs. 60 each of Shahid Steel Company which have market value of Rs. 65 each as on 30 June, 2020. During September, 2020 Akbar Enterprises conducted the following transactions:- 1) On 18 September, 2020 all shares of Kohat Cement Company were sold at Rs. 160 each. 2) On 30 September, 2020 all shares of Shahid Steel were sold at Rs. 55 each. Required In compliance with mark to market concept: A) Pass necessary accounting entries to purchase and update the values of short terms investment the end of 30 June, 2020. B) Present the short terms investments in the financial statements in the financial statements as at 30 June, 2020 C) Incorporate the sale of short term equity securities in the accounting record. Akbar Enterprises was owning the following short term equity investments in the shares of joint stock companies listed on Islamabad Stock Exchange:- 1) 4,000 shares of Rs. 1,000 each par value purchased at Rs. 130 each of Kohat Cement Company which have market value of Rs. 150 each as on 30 June, 2020. 2) 2,500 shares of Rs. 50 each par value purchased at Rs. 60 each of Shahid Steel Company which have market value of Rs. 65 each as on 30 June, 2020. During September, 2020 Akbar Enterprises conducted the following transactions:- 1) On 18 September, 2020 all shares of Kohat Cement Company were sold at Rs. 160 each. 2) On 30 September, 2020 all shares of Shahid Steel were sold at Rs. 55 each. Required In compliance with mark to market concept: A) Pass necessary accounting entries to purchase and update the values of short terms investment the end of 30 June, 2020. B) Present the short terms investments in the financial statements in the financial statements as at 30 June, 2020 C) Incorporate the sale of short term equity securities in the accounting record.

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