Question: On March 1 , 2 0 2 4 , Compass Company invests $ 2 7 , 9 0 0 in Elite Company stock. Elite pays

On March 1,2024, Compass Company invests $27,900 in Elite Company stock. Elite pays Compass an $1,000 dividend on September 30,2024. Compass sells the Elite stock on November 30,2024 for $26,000. Assume the investment is categorized as a short-term equity investment and that Compass does not have significant influence over Elite.
Begin by journalizing Compass' investment on March 1,2024.
Next, joumalize the receipt of cash dividend on September 30,2024.
\table[[Date,Accounts,Debit,Credit],[September 30],[,,,],[,,,],[y,,,]]
Now journalize the sale of the stock on November 30,2024.
Requirement 2. What was the net effect of the investment on Compass' net income for the year ended December 31,2024.(Use parentheses or a minus sign for a decrease to net income.)
The net effect of the investment on Compass' net income for the year ended December 31 is
On March 1,2024, Compass Company invests $27,900 in Elite Company stock.

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