Assignment 5 - Chapter 7,8 Comm 204 - Spring 2020 Question 1 On February 18, 2019 Krusty Burger Ltd. acquired 5,000 shares (10%) of Moe's Tavern Ltd, for $105 per share. Krusty Burger received a cash dividend of $0.50 per share on November 6, 2019. On December 31, 2019, Krusty's year-end date, the fair value of the Moe's Tavern Ltd. investment was $520,000. On Feb 1, 2020 Krusty Burger sells the shares for $106 per share. Prepare Journal Entries for the above transactions. Explanations are not required. DATE ACCOUNT DEBIT CREDIT Assignment 5 - Chapter 7,8 Comm 204-Spring 2020 Question 2 The Atco Corporation reported the following transactions for the year 2019: Jan.1 Sept. 30 Dec. 31 Purchased 35% of the common shares of Utilities Board Corporation for $700,000. This is a long-term investment giving Atco significant influence over the operations of Utilities Board. Received a $42,000 dividend on the Utilities Board Corporation shares. Utilities Board Corporation reported net income of $176,200 for the year ended December 31, 2019. Atco sold 50% of the Utilities Board shares for $400,000. Feb 28 Prepare Journal Entries for the above transactions. Explanations are not required. DATE ACCOUNT DEBIT CREDIT