ces April 16 Purchased 4,500 shares of OnPoint Company stock at $30 per share. Purchased 3,000...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
ces April 16 Purchased 4,500 shares of OnPoint Company stock at $30 per share. Purchased 3,000 shares of Eco Company stock at $55 per share. July 7 July 20 Purchased 1,400 shares of Lafayette Company stock at $22 per share. August 15 Received an $1.10 per share cash dividend on the OnPoint Company stock. August 28 Sold 2,780 shares of OnPoint Company stock at $33 per share. Received a $5.20 per share cash dividend on the Eco Company shares. October 1 December 15 Received a $1.30 per share cash dividend on the remaining OnPoint Company shares. December 31 Received a $4.60 per share cash dividend on the Eco Company shares. GL1501 (Algo) - Based on Problem 15-4A LO P4 BGJ Corporation had no short-term Investments prior to this year. It had the following transactions this year Involving Investments with Insignificant Influence. IN IN IN IN Transaction Analysis Prepare journal entries to record each of the transactions and events. Prepare the year-end adjustment to fair valu View transaction Bat View journal entry worksheet Requirement No 1 2 3 14 8 5 16 General Journal Date Apr 16 Jul 07 Jul 20 Aug 15 Aug 28 Oct 01 Dec 15 Dec 31 Stock investments Cash General Ledger Stock investments Cash Stock investments Cash Cash Dividend revenue Cash Dividend revenue Cash Gain on sale of stock investments Stock investments Cash Dividend revenue Cash Trial Balance Fair Value Adj Account Title Fin St Impact Debit 135,000 165,000 30,800 4,950 89,100 Credit 135,000 165.000 30,800 4,950 bok ences April 16 July 7 July 20 August 15 August 28 October 1 December 15 Received a $1.30 per share cash dividend on the remaining OnPoint Company shares. December 31 Received a $4.60 per share cash dividend on the Eco Company shares. Received a $5.20 per share cash dividend on the Eco Company shares. Requirement Purchased 4,500 shares of OnPoint Company stock at $30 per share. Purchased 3,000 shares of Eco Company stock at $55 per share. Purchased 1,400 shares of Lafayette Company stock at $22 per share. Received an $1.10 per share cash dividend on the OnPoint Company stock. Sold 2,700 shares of OnPoint Company stock at $33 per share. Step 1 Step 2 Step 3 General Journal Trial Balance Fair Value Adj The year-end fair values per share are: OnPoint Company, $31.00; Eco Company, $53.50; and Lafayette Company, $19.00. Calculate the total cost and total fair value of the available-for-sale portfolio as of December 31, and calculate the amount of the required year-end adjusting entry, if any. Cost of investments at December 31: OnPoint Company stock Eco Company stock Lafayette Company Total cost General Ledger Fair value of investments at December 31: OnPoint Company stock Eco Company stock Lafayette Company Total fair value #of Shares Transaction Analysis #of Shares Total unrealized gainfloss as of December 31: Cost Fair Value ook BGJ Corporation had no short-term Investments prior to this year. It had the following transactions this year involving short-term stock Investments with Insignificant influence. April 16 July 7 July 28 August 15 August 28 October 1 Purchased 4,500 shares of OnPoint Company stock at $30 per share. Purchased 3,000 shares of Eco Company stock at $55 per share. Purchased 1,400 shares of Lafayette Company stock at $22 per share. Received an $1.10 per share cash dividend on the OnPoint Company stock. Sold 2,700 shares of OnPoint Company stock at $33 per share.. Received a $5.20 per share cash dividend on the Eco Company shares. December 15 Received a $1.30 per share cash dividend on the remaining OnPoint Company shares. December 31 Received a $4.60 per share cash dividend on the Eco Company shares. Requirement General Journal General Ledger Trial Balance Fair Value Adj Apr. 10) Purchased 4.500 shares of OnPoint Company stock at $30 per share Jul. 7) Purchased 3.000 shares of Eco Company stock at $55 per share For each transaction, indicate the change, if any, in total assets and total equity. If equity changes, indicate whether the change was reflected as a component of net income, or directly within the stockholders' equity portion of the balance sheet. Remember that the change in total assets must agree with the change in total equity. Jul. 20) Purchased 1.400 shares of Lafayette Company stock at $22 per share Aug. 15) Received an $1.10 per share cash dividend on the OnPoint Company stock Aug 28) Sold 2,700 shares of OnPoint Company stock at $33 per share. Oct. 1) Received a $5.20 per share cash dividend on the Eco Company shares Dec 15) Received a $1.30 per share cash dividend on the remaining OnPoint Company shares Ded 31) Received a $4.00 per share cash dividend on the Eco Company shares Dec. 31) Adjusted the securities to year-and fair value Totals Fair Value Ad Transaction Analysis 15 Change in Total assets Fin St Impact As a component of net income 10$ Fin St Impact > Change in equity: As a direct component of stockholders equity 0 S Total change in equity $ 0 S 10 10 10 10 0 0 10 0 0 0 Show less GL1501 (Algo) - Based on Problem 15-4A LO P4 BGJ Corporation had no short-term investments prior to this year. It had the following transactions this year involving short-term stock Investments with Insignificant influence April 16 July 7 July 20 Purchased 4,500 shares of OnPoint Company stock at $30 per share. Purchased 3,000 shares of Eco Company stock at $55 per share. Purchased 1,400 shares of Lafayette Company stock at $22 per share. August 15 Received an $1.10 per share cash dividend on the OnPoint Company stock. August 28 Sold 2,700 shares of OnPoint Company stock at $33 per share. October 1 Received a $5.20 per share cash dividend on the Eco Company shares. December 15 Received a $1.30 per share cash dividend on the remaining OnPoint Company December 31 Received a $4.60 per share cash dividend on the Eco Company shares. Requirement General Journal General Ledger Total net income Trial Balance Fair Value Adj Transaction Analysis On the transaction analysis tab, you indicated that total income changed by Select the income statement account balances that prove this amount Prove the accuracy of your responses on the Transaction Analysis tab by selecting the account titles reported on the income statement or as a component of stockholders' equity. < Transaction Analysis $ 0 0 0 0 sha share Fin St Impact Fin St Impact ces April 16 Purchased 4,500 shares of OnPoint Company stock at $30 per share. Purchased 3,000 shares of Eco Company stock at $55 per share. July 7 July 20 Purchased 1,400 shares of Lafayette Company stock at $22 per share. August 15 Received an $1.10 per share cash dividend on the OnPoint Company stock. August 28 Sold 2,780 shares of OnPoint Company stock at $33 per share. Received a $5.20 per share cash dividend on the Eco Company shares. October 1 December 15 Received a $1.30 per share cash dividend on the remaining OnPoint Company shares. December 31 Received a $4.60 per share cash dividend on the Eco Company shares. GL1501 (Algo) - Based on Problem 15-4A LO P4 BGJ Corporation had no short-term Investments prior to this year. It had the following transactions this year Involving Investments with Insignificant Influence. IN IN IN IN Transaction Analysis Prepare journal entries to record each of the transactions and events. Prepare the year-end adjustment to fair valu View transaction Bat View journal entry worksheet Requirement No 1 2 3 14 8 5 16 General Journal Date Apr 16 Jul 07 Jul 20 Aug 15 Aug 28 Oct 01 Dec 15 Dec 31 Stock investments Cash General Ledger Stock investments Cash Stock investments Cash Cash Dividend revenue Cash Dividend revenue Cash Gain on sale of stock investments Stock investments Cash Dividend revenue Cash Trial Balance Fair Value Adj Account Title Fin St Impact Debit 135,000 165,000 30,800 4,950 89,100 Credit 135,000 165.000 30,800 4,950 bok ences April 16 July 7 July 20 August 15 August 28 October 1 December 15 Received a $1.30 per share cash dividend on the remaining OnPoint Company shares. December 31 Received a $4.60 per share cash dividend on the Eco Company shares. Received a $5.20 per share cash dividend on the Eco Company shares. Requirement Purchased 4,500 shares of OnPoint Company stock at $30 per share. Purchased 3,000 shares of Eco Company stock at $55 per share. Purchased 1,400 shares of Lafayette Company stock at $22 per share. Received an $1.10 per share cash dividend on the OnPoint Company stock. Sold 2,700 shares of OnPoint Company stock at $33 per share. Step 1 Step 2 Step 3 General Journal Trial Balance Fair Value Adj The year-end fair values per share are: OnPoint Company, $31.00; Eco Company, $53.50; and Lafayette Company, $19.00. Calculate the total cost and total fair value of the available-for-sale portfolio as of December 31, and calculate the amount of the required year-end adjusting entry, if any. Cost of investments at December 31: OnPoint Company stock Eco Company stock Lafayette Company Total cost General Ledger Fair value of investments at December 31: OnPoint Company stock Eco Company stock Lafayette Company Total fair value #of Shares Transaction Analysis #of Shares Total unrealized gainfloss as of December 31: Cost Fair Value ook BGJ Corporation had no short-term Investments prior to this year. It had the following transactions this year involving short-term stock Investments with Insignificant influence. April 16 July 7 July 28 August 15 August 28 October 1 Purchased 4,500 shares of OnPoint Company stock at $30 per share. Purchased 3,000 shares of Eco Company stock at $55 per share. Purchased 1,400 shares of Lafayette Company stock at $22 per share. Received an $1.10 per share cash dividend on the OnPoint Company stock. Sold 2,700 shares of OnPoint Company stock at $33 per share.. Received a $5.20 per share cash dividend on the Eco Company shares. December 15 Received a $1.30 per share cash dividend on the remaining OnPoint Company shares. December 31 Received a $4.60 per share cash dividend on the Eco Company shares. Requirement General Journal General Ledger Trial Balance Fair Value Adj Apr. 10) Purchased 4.500 shares of OnPoint Company stock at $30 per share Jul. 7) Purchased 3.000 shares of Eco Company stock at $55 per share For each transaction, indicate the change, if any, in total assets and total equity. If equity changes, indicate whether the change was reflected as a component of net income, or directly within the stockholders' equity portion of the balance sheet. Remember that the change in total assets must agree with the change in total equity. Jul. 20) Purchased 1.400 shares of Lafayette Company stock at $22 per share Aug. 15) Received an $1.10 per share cash dividend on the OnPoint Company stock Aug 28) Sold 2,700 shares of OnPoint Company stock at $33 per share. Oct. 1) Received a $5.20 per share cash dividend on the Eco Company shares Dec 15) Received a $1.30 per share cash dividend on the remaining OnPoint Company shares Ded 31) Received a $4.00 per share cash dividend on the Eco Company shares Dec. 31) Adjusted the securities to year-and fair value Totals Fair Value Ad Transaction Analysis 15 Change in Total assets Fin St Impact As a component of net income 10$ Fin St Impact > Change in equity: As a direct component of stockholders equity 0 S Total change in equity $ 0 S 10 10 10 10 0 0 10 0 0 0 Show less GL1501 (Algo) - Based on Problem 15-4A LO P4 BGJ Corporation had no short-term investments prior to this year. It had the following transactions this year involving short-term stock Investments with Insignificant influence April 16 July 7 July 20 Purchased 4,500 shares of OnPoint Company stock at $30 per share. Purchased 3,000 shares of Eco Company stock at $55 per share. Purchased 1,400 shares of Lafayette Company stock at $22 per share. August 15 Received an $1.10 per share cash dividend on the OnPoint Company stock. August 28 Sold 2,700 shares of OnPoint Company stock at $33 per share. October 1 Received a $5.20 per share cash dividend on the Eco Company shares. December 15 Received a $1.30 per share cash dividend on the remaining OnPoint Company December 31 Received a $4.60 per share cash dividend on the Eco Company shares. Requirement General Journal General Ledger Total net income Trial Balance Fair Value Adj Transaction Analysis On the transaction analysis tab, you indicated that total income changed by Select the income statement account balances that prove this amount Prove the accuracy of your responses on the Transaction Analysis tab by selecting the account titles reported on the income statement or as a component of stockholders' equity. < Transaction Analysis $ 0 0 0 0 sha share Fin St Impact Fin St Impact
Expert Answer:
Answer rating: 100% (QA)
No 1 2 7 3 9 5 Dat e Apr 16 Julyo July 20 Augir Aug 281 6 Oct 1 Decis ... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0324312140
16th Edition
Authors: James D. Stice, Earl K. Stice, Fred Skousen
Posted Date:
Students also viewed these accounting questions
-
Prepare journal entries to record each of the following purchases transactions of a merchandising company. Show supporting calculations and assume a perpetual inventory system. Mar. 5 Purchased 500...
-
Prepare journal entries to record each of the transactions listed inExercise 21. InExercise 21, The following transactions occurred during March 2011 for the Wainwright Corporation. The company owns...
-
Prepare journal entries to record each of the following items for Union Cable Company for 2012. Union Cable Company uses a calendar year reporting period. Ignore income tax effects. a. Discovers on...
-
In what significant way do financial audits in government and not-for-profit organizations differ from those carried on in businesses? Your answer should also address the purpose of performance...
-
What can be learned from the service imperative?
-
1. Sheldon Cooper and Amy Farrah live in Pasadena, California; have as a new investment goal to create a college fund for their newborn daughter. They estimate that they will need $200,000 in 18...
-
Briefly describe the accounting organizations that exist in Canada and identify the professional designations they award.
-
The Chen Company is considering the purchase of a new machine to replace an obsolete one. The machine being used for the operation has both a book value and a market value of zero; it is in good...
-
In this question you are asked to prove some no arbitrage restrictions. The proofs should be by contradiction, that is, by assuming that the inequality does not hold and showing how you can then...
-
Based on the information in The Art of Positive Communication EL. a TedTalk by Julien Mirivel, Answer the following questions: 1) Name and give a brief example for each of the 6 positive...
-
Help Save & Ex Submit At the beginning of the year, a company estimates total overhead costs of $1129,620. The company applies overhead using machine hours and estimates that it will use 2.810...
-
Caliente Corp, who reports monthly, received $ 1 2 0 , 0 0 0 in advance for six months of services to be provided on 7 / 1 / 2 3 . What general journal entry should be recorded at 7 / 1 / 2 3 and...
-
Jones has a loss on discontinued operations of $ 2 5 0 K ( after tax ) . If the tax rate is 3 5 % , what amount should Jones report this discontinued item at on its income statement?
-
The demand for spring water at the Plano WalMart is 31200 litres per year. The setup cost for placing an order to replenish inventory is $25. The WalMart charges an annual holding cost of $2.6/liter....
-
Dearborn Supplies has total sales of $204 million, assets of $101 million, a return on equity of 31 percent, and a net profit margin of 7.1 percent. What is the firm's debt ratio?
-
In September 2008, the IRS changed tax laws to allow banks to utilize the tax loss carryforwards of banks they acquire to shield up to 100% of their future income from taxes (prior law restricted the...
-
18-16 Normal and abnormal spoilage in units. The following data, in physical units, describe a grinding process for January: Work in process, Beginning Started during current period 19,000 150,000 To...
-
Find the volume of the described solid S. A frustum of a right circular cone with height h, lower base radius R, and top radius r -r- --R
-
The company reported the following balance sheet information: Total income tax expense for 2008 was $40,000. Compute the amount of cash paid for income taxes in2008. 2008 2007 Income taxes payable...
-
Raton Company, in payment for services, issues 5,000 shares of common stock to persons organizing and promoting the company and another 20,000 shares in exchange for properties believed to have...
-
Company A reported the following balance sheet data for the most recent three years: Prepare the Asset section of a common-size balance sheet for each year. Year 3 Yer 2 Year 1 Cash Accounts...
-
Question: You are a lawyer, representing the plaintiff in a case of alleged employment discrimination. The court is selecting a jury. Based on questions you have asked, you believe that juror number...
-
You may be called for jury duty before long. Find a summary of the juror's responsibilities on the Internet. Some people try hard to get out of jury duty. Why is that a problem in a democratic...
-
Jason and the toddler present a classic legal puzzle: What, if anything, must a bystander do when he sees someone in danger? We will examine this issue to see how the common law works. The common law...
Study smarter with the SolutionInn App