On January 31, 2021, Juan Inversionista purchased as an investment with short-term speculation intention shares issued by
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On January 31, 2021, Juan Inversionista purchased as an investment with short-term speculation intention shares issued by the following companies: 20 Tesla shares at a total cost of $15,000 and 170common Alphabet shares at a total cost of $20,000. On April 30, Tesla paid a cash dividend of $2.00 per share. On September 1, Alphabet paid a cash dividend of $5 per share. As of December 31, 2021, Tesla's fair value per share is $1,050 and Alphabet's is $145. John has negligible influence on both companies.
- Make the January 31, 2021 entry to record the purchase of investments in Tesla and Alphabet.
- Make the journal entry to record Tesla's dividend payment on April 30, 2021.
- Make the journal entry to record Alphabet's dividend payment on September 1, 2021.
- Make the journal entry to record the change in the value of investments in equity as of December 31, 2021.
- Juan Inversor is worried about the tweets that Elon Musk spends writing and decides to sell his 20 shares in Tesla at a price of $ 920 per share. Make the journal entry for the sale of the debt investment
Related Book For
Intermediate Accounting
ISBN: 978-0176509736
10th Canadian Edition, Volume 1
Authors: Donald Kieso, Jerry Weygandt, Terry Warfield, Nicola Young,
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