Problem 6.1

Problem 6.2

Problem 6.1 The following transactions appear on the "Available-for-Sale Marketable Securities" account of Jolen Company for the year 2019: Marketable Securities Date Particulars Debit Credit Apr. 1 Purchased 1,000 shares of SMC at P15/share and 2,000 shares of Atlas Cons. at P10/share P35,000 July 1 Purchased 5-year Treasury Notes at P96; face value P100,000. Interest dates, July 1 and Jan. 1; Interest rate, 9% 96,000 Nov. 5 Sold 400 shares of SMC at P14/share and 800 shares of Atlas Cons at P12/share P 15,200 Dec. 31 Sold the treasury notes at P97 plus accrued interest P 101,500 Note: Disregard brokers' commission and taxes in your computations. The adjusted balance of "available-for-sale marketable securities" account (at cost) of Jolen Company as of December 31, 2019 is a. 14,300 C. 22,000 b. 19,800 d. 25,000Problem 6.2 Charlene owns shares (available-for-sale) of Ruan Bros. Inc. purchased as follows: Year Shares Total Cost 2017 100 P2,500 2018 150 4,500 In 2019, a 20% share dividend was received. Needing cash, Charlene sold all her share dividend at P25 per share, and credited the proceeds to Investment Income Account. Required: Identify the entry made, correct entry and adjusting entry