GL1501 - Based on Problem 15-4A LO P4

Note: The year-end fair values per share were: MYC Co., $26.00; STO Co., $48.50; and CMO Co., $14.00. The total cost was $319,000 and the total fair value was $308,650 of the available-for-sale portfolio as of December 31. The adjustment to the fair value adjustment account was $10,350 credit/unrealized loss.

Edmunds Corp. had no short-term investments prior to the year 2017. It had the following transactions involving short-term investments in available-for-sale securities during 2017.

Apr.		16		Purchased 6,000 shares of MYC Co. stock at $25 per share.
July		7		Purchased 4,500 shares of STO Co. stock at $50 per share.
		20		Purchased 2,000 shares of CMO Co. stock at $17 per share.
Aug.		15		Received a $1.40 per share cash dividend on the MYC Co. stock.
		28		Sold 3,600 shares of MYC Co. stock at $28 per share.
Oct.		1		Received a $3.00 per share cash dividend on the STO Co. shares.
Dec.		15		Received a $1.70 per share cash dividend on the remaining MYC Co. shares.
		31		Received a $2.40 per share cash dividend on the STO Co. shares.

Required: indicate the change, if any, in total assets and total equity and prove the accuracy of your response.

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.

	Change in Change in equity:
	Total assets	As a component of net income	As a direct component of stockholders' equity	Total change in equity
Apr. 16) Purchased 6,000 shares of MYC Co. stock at $25 per share.	$0			$0
Jul. 7) Purchased 4,500 shares of STO Co. stock at $50 per share.	0			0
Jul. 20) Purchased 2,000 shares of CMO Co. stock at $17 per share.	0			0
Aug. 15) Received a $1.40 per share cash dividend on the MYC Co. stock.				0
Aug. 28) Sold 3,600 shares of MYC Co. stock at $28 per share.				0
Oct. 1) Received a $3.00 per share cash dividend on the STO Co. shares.				0
Dec. 15) Received a $1.70 per share cash dividend on the remaining MYC Co. shares.				0
Dec. 31) Received a $2.40 per share cash dividend on the STO Co. shares.				0
Dec. 31) Adjusted the securities to year-end fair value.				0
Totals	$0	$0	$0	$0

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.

On the transaction analysis tab, you indicated that total income changed by:		$0
Select the income statement account balances that prove this amount:
		0
		0
		0
Total net income
On the transaction analysis tab, you indicated that total stockholders' equity changed by:		$0
Select the stockholders' equity account balance that proves this amount:
Change in Retained Earnings due to net income