Homework: Chapter 10 - GRADED Problems Save Score: 9.92 of 11 pts 5 of 5 (5 complete) HW Score: 84.45%, 33.78 of 40 pts 2 P10-20A (similar to) Question Help The beginning balance sheet of Stamp Source Co. Included a $900,000 investment in Eaten stock (35% ownership. Stamp has significant influence over Eaten). During the year, Stamp Source completed the following investment transactions: i (Click the icon to view the transactions.) Read the requirements Requirement 1. Journalize the transactions for the year of Stamp Source. (Record debits first, then credits. Select the explanation on the last line of the joumal entry table. If no entry is required, select "No entry required" on the first line of the Accounts and Explanation column and leave the remaining cells blank.) Mar. 3: Purchased 5,000 shares at $10 per share of John Software common stock as a long-term equity investment, representing 3% ownership, no significant influence. Date Accounts and Explanation Credit Debit 50,000 Mar. 3 Equity Investments Cash 50,000 Purchased investment in stock May 15: Received a cash dividend of $0.83 per share on the John investment. May 15: Received a cash dividend of $0.83 per share on the John investment. Date Accounts and Explanation Debit Credit May 15 Cash 4,150 Dividend Revenue 4,150 Received cash dividend. Dec. 15: Received a cash dividend of $55,000 from Eaten investment. Date Accounts and Explanation Debit Credit Dec. 15 Cash 55,000 _...1............ EF Dec. 15: Received a cash dividend of $55,000 from Eaten investment. Date Accounts and Explanation Debit Credit Dec. 15 Cash 55,000 Equity InvestmentsEaten 55,000 Received cash dividend (equity method). Dec. 31: Received Eaten's annual report showing $120,000 of net income. Date Accounts and Explanation Debit Credit Dec. 31 Equity InvestmentsEaten 42,000 Dec. 31: Received Eaten's annual report showing $120,000 of net income. Date Accounts and Explanation Debit Credit Dec. 31 42,000 Equity InvestmentsEaten Revenue from Investments 42,000 Recorded revenue earned from investment (equity method). Dec. 31: Received John's annual report showing $800,000 of net income for the year. Date Accounts and Explanation Debit Credit Dec. 31 No entry required Dec. 31: Received John's annual report showing $800,000 of net income for the year. Date Accounts and Explanation Debit Credit Dec. 31 No entry required Dec. 31: Eaten's stock fair value at year-end was $887,000. Date Accounts and Explanation Debit Credit Dec. 31 No entry required Dec. 31: Eaten's stock fair value at year-end was $887,000. Date Accounts and Explanation Debit Credit Dec. 31 No entry required Dec. 31: John's common stock fair value at year-end was $13 per share. Date Accounts and Explanation Debit Credit Dec. 31 Fair Value AdjustmentEquity Investments 15,000 -1!--IIIJ...! Annn Dec. 31: John's common stock fair value at year-end was $13 per share. Date Accounts and Explanation Debit Credit Dec. 31 15,000 Fair Value Adjustment-Equity Investments Unrealized Holding GainEquity Investments 15,000 Adjusted equity investment to market value. Requirement 2. Post transactions to T-accounts to determine the December 31, 2018, balances related to the investment and investment income accounts. (Select the missing investment account.) Revenue from Investments Equity Investments-Eaten 900,000 55,000 Dec. 15 Beg. 42,000 Dec. 31 Nan 24 Annn Requirement 2. Post transactions to T-accounts to determine the December 31, 2018, balances related to the investment and investment income accounts. (Select the missing investment account.) Revenue from Investments Equity InvestmentsEaten 900,000 55,000 Dec. 15 Beg. 42,000 Dec. 31 Dec. 31 42,000 Bal. 887,000 42,000 Bal. Dividend Revenue Equity Investments 50,000 Mar. 3 4,150 May 15 Bal. 50,000 4,150 Bal. Dividend Revenue Equity Investments 50,000 Mar. 3 4,150 May 15 Bal. 50,000 4,150 Bal. Unrealized Holding GainEquity Investments Fair Value Adjustment-Equity Investments Dec. 31 15,000 15,000 Dec. 31 Bal. 15,000 15,000 Bal. Requirement 3. Prepare Stamp Source's partial balance sheet at December 31, 2018, from your answers in Requirement 2. (If a box is not used in the partial balance sheet, leave the box empty; do not select a label or enter a zero.). Unrealized Holding GainEquity Investments Fair Value Adjustment-Equity Investments Dec. 31 15,000 15,000 Dec. 31 Bal. 15,000 15,000 Bal. Requirement 3. Prepare Stamp Source's partial balance sheet at December 31, 2018, from your answers in Requirement 2. (lf a box is not used in the partial balance sheet, leave the box empty; do not select a label or enter a zero.) Stamp Source, Co. Balance Sheet (Partial) December 31, 2018 Assets ( Requirement 3. Prepare Stamp Source's partial balance sheet at December 31, 2018, from your answers in Requirement 2. (lf a box is not used in the partial balance sheet, leave the box empty; do not select a label or enter a zero.) Stamp Source, Co. Balance Sheet (Partial) December 31, 2018 Assets Current Assets: Equity Investments (at fair value) Equity InvestmentsEaten (at fair value) 65,000 887,000 Long-term Assets: Dividend Revenue 4,150 Score: 9.92 of 11 pts 5 of 5 (5 complete) HW Score: 84.45%, 33.78 WP10-20A (similar to) i More Info X Help ther The beginning balance sheet of Stamp Source Co. included a $900,000 investment in Eatens investment transactions: (Click the icon to view the transactions.) Read the requirements. Mar. 3 May 15 December 31, 2018 Dec. 15 Assets Purchased 5,000 shares at $10 per share of John Software common stock as a long-term equity investment, representing 3% ownership, no significant influence. Received a cash dividend of $0.83 per share on the John investment. ad Received a cash dividend of $55,000 from Eaten investment. a Received Eaten's annual report showing $120,000 of net income. Received John's annual report showing $800,000 of net income for the year. Eaten's stock fair value at year-end was $887,000. John's common stock fair value at year-end was $13 per share. - Dec. 31 Dec. 31 65,000 Dec. 31 887.000 Dec. 31 Current Assets: Equity Investments (at fair value) Equity Investments-Eaten (at fair value) Long-term Assets Dividend Revenue Unrealized Holding Gain (Loss)-Equity Investments Stockholders' Equity Accumulated Other Comprehensive Income: 4,150 O Requirements 1. Journalize the transactions for the year of Stamp Source. 2. Post transactions to T-accounts to determine the December 31, 2018, , balances related to the investment and investment income accounts. 3. Prepare Stamp Source's partial balance sheet at December 31, 2018, from your answers in Requirement 2. 4. Where is the unrealized holding gain or loss associated with the John stock reported? Choose from any list or enter any number in the input fields and then click Check Answ 1 part remaining Final Check Homework: Chapter 10 - GRADED Problems Save Score: 9.92 of 11 pts 5 of 5 (5 complete) HW Score: 84.45%, 33.78 of 40 pts 2 P10-20A (similar to) Question Help The beginning balance sheet of Stamp Source Co. Included a $900,000 investment in Eaten stock (35% ownership. Stamp has significant influence over Eaten). During the year, Stamp Source completed the following investment transactions: i (Click the icon to view the transactions.) Read the requirements Requirement 1. Journalize the transactions for the year of Stamp Source. (Record debits first, then credits. Select the explanation on the last line of the joumal entry table. If no entry is required, select "No entry required" on the first line of the Accounts and Explanation column and leave the remaining cells blank.) Mar. 3: Purchased 5,000 shares at $10 per share of John Software common stock as a long-term equity investment, representing 3% ownership, no significant influence. Date Accounts and Explanation Credit Debit 50,000 Mar. 3 Equity Investments Cash 50,000 Purchased investment in stock May 15: Received a cash dividend of $0.83 per share on the John investment. May 15: Received a cash dividend of $0.83 per share on the John investment. Date Accounts and Explanation Debit Credit May 15 Cash 4,150 Dividend Revenue 4,150 Received cash dividend. Dec. 15: Received a cash dividend of $55,000 from Eaten investment. Date Accounts and Explanation Debit Credit Dec. 15 Cash 55,000 _...1............ EF Dec. 15: Received a cash dividend of $55,000 from Eaten investment. Date Accounts and Explanation Debit Credit Dec. 15 Cash 55,000 Equity InvestmentsEaten 55,000 Received cash dividend (equity method). Dec. 31: Received Eaten's annual report showing $120,000 of net income. Date Accounts and Explanation Debit Credit Dec. 31 Equity InvestmentsEaten 42,000 Dec. 31: Received Eaten's annual report showing $120,000 of net income. Date Accounts and Explanation Debit Credit Dec. 31 42,000 Equity InvestmentsEaten Revenue from Investments 42,000 Recorded revenue earned from investment (equity method). Dec. 31: Received John's annual report showing $800,000 of net income for the year. Date Accounts and Explanation Debit Credit Dec. 31 No entry required Dec. 31: Received John's annual report showing $800,000 of net income for the year. Date Accounts and Explanation Debit Credit Dec. 31 No entry required Dec. 31: Eaten's stock fair value at year-end was $887,000. Date Accounts and Explanation Debit Credit Dec. 31 No entry required Dec. 31: Eaten's stock fair value at year-end was $887,000. Date Accounts and Explanation Debit Credit Dec. 31 No entry required Dec. 31: John's common stock fair value at year-end was $13 per share. Date Accounts and Explanation Debit Credit Dec. 31 Fair Value AdjustmentEquity Investments 15,000 -1!--IIIJ...! Annn Dec. 31: John's common stock fair value at year-end was $13 per share. Date Accounts and Explanation Debit Credit Dec. 31 15,000 Fair Value Adjustment-Equity Investments Unrealized Holding GainEquity Investments 15,000 Adjusted equity investment to market value. Requirement 2. Post transactions to T-accounts to determine the December 31, 2018, balances related to the investment and investment income accounts. (Select the missing investment account.) Revenue from Investments Equity Investments-Eaten 900,000 55,000 Dec. 15 Beg. 42,000 Dec. 31 Nan 24 Annn Requirement 2. Post transactions to T-accounts to determine the December 31, 2018, balances related to the investment and investment income accounts. (Select the missing investment account.) Revenue from Investments Equity InvestmentsEaten 900,000 55,000 Dec. 15 Beg. 42,000 Dec. 31 Dec. 31 42,000 Bal. 887,000 42,000 Bal. Dividend Revenue Equity Investments 50,000 Mar. 3 4,150 May 15 Bal. 50,000 4,150 Bal. Dividend Revenue Equity Investments 50,000 Mar. 3 4,150 May 15 Bal. 50,000 4,150 Bal. Unrealized Holding GainEquity Investments Fair Value Adjustment-Equity Investments Dec. 31 15,000 15,000 Dec. 31 Bal. 15,000 15,000 Bal. Requirement 3. Prepare Stamp Source's partial balance sheet at December 31, 2018, from your answers in Requirement 2. (If a box is not used in the partial balance sheet, leave the box empty; do not select a label or enter a zero.). Unrealized Holding GainEquity Investments Fair Value Adjustment-Equity Investments Dec. 31 15,000 15,000 Dec. 31 Bal. 15,000 15,000 Bal. Requirement 3. Prepare Stamp Source's partial balance sheet at December 31, 2018, from your answers in Requirement 2. (lf a box is not used in the partial balance sheet, leave the box empty; do not select a label or enter a zero.) Stamp Source, Co. Balance Sheet (Partial) December 31, 2018 Assets ( Requirement 3. Prepare Stamp Source's partial balance sheet at December 31, 2018, from your answers in Requirement 2. (lf a box is not used in the partial balance sheet, leave the box empty; do not select a label or enter a zero.) Stamp Source, Co. Balance Sheet (Partial) December 31, 2018 Assets Current Assets: Equity Investments (at fair value) Equity InvestmentsEaten (at fair value) 65,000 887,000 Long-term Assets: Dividend Revenue 4,150 Score: 9.92 of 11 pts 5 of 5 (5 complete) HW Score: 84.45%, 33.78 WP10-20A (similar to) i More Info X Help ther The beginning balance sheet of Stamp Source Co. included a $900,000 investment in Eatens investment transactions: (Click the icon to view the transactions.) Read the requirements. Mar. 3 May 15 December 31, 2018 Dec. 15 Assets Purchased 5,000 shares at $10 per share of John Software common stock as a long-term equity investment, representing 3% ownership, no significant influence. Received a cash dividend of $0.83 per share on the John investment. ad Received a cash dividend of $55,000 from Eaten investment. a Received Eaten's annual report showing $120,000 of net income. Received John's annual report showing $800,000 of net income for the year. Eaten's stock fair value at year-end was $887,000. John's common stock fair value at year-end was $13 per share. - Dec. 31 Dec. 31 65,000 Dec. 31 887.000 Dec. 31 Current Assets: Equity Investments (at fair value) Equity Investments-Eaten (at fair value) Long-term Assets Dividend Revenue Unrealized Holding Gain (Loss)-Equity Investments Stockholders' Equity Accumulated Other Comprehensive Income: 4,150 O Requirements 1. Journalize the transactions for the year of Stamp Source. 2. Post transactions to T-accounts to determine the December 31, 2018, , balances related to the investment and investment income accounts. 3. Prepare Stamp Source's partial balance sheet at December 31, 2018, from your answers in Requirement 2. 4. Where is the unrealized holding gain or loss associated with the John stock reported? Choose from any list or enter any number in the input fields and then click Check Answ 1 part remaining Final Check