On April 25, Mineral Corporation acquired 50,000 shares of the 550,000 outstanding common stock of Pluto Co. at $35 plus commission charges of $500. On June 10, a cash dividend of $1.75 per share was received. 

On October 10, 8,000 shares were sold at $43 less commission charges of $500. 

At the end of the accounting period on December 31, the fair value of the remaining 42,000 shares of Mineral Company’s stock was $42.00 per share. 

Journalize the entries for 

(a) the purchase of stock,

(b) the receipt of dividends, 

(c) the sale of 8,000 shares, and 

(d) the change in fair value.

Answer rating: 100% (QA)

SOLUTION a April 25 Purchase of stock Investment in Pluto Co Stock 1750500 Cash 1752000 Commission E... View the full answer