Rose Company had no short-term investments prior to this year It had the following transactions this...
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Rose Company had no short-term investments prior to this year It had the following transactions this year involving short term stock investments with insignificant influence April 16 Purchased 10,000 shares of Gem Company stock at $28.25 per share. July 7 Purchased 5,000 shares of Pepsico stock at S52.00 per share. July 20 Purchased 2,500 shares of Xerox stock at $15.00 per share. August 15 Received a $0.75 per share cash dividend on the Gem Company stock. August 28 Sold 5,000 shares of Gem Company stock at $35.00 per share. October 1 Received a $1.80 per share cash dividend on the PepsiCo shares. December 15 Received a $0e.90 per share cash dividend on the remaining Gem Company shares. December 31 Received a $1.05 per share cash dividend on the Pepsico shares. The year-end fair values per share are Gem Company, $30.50; PepsiCo, $49.25; and Xerox $12.00. Identify the dollar increase or decrease from Rose's short-term stock investments on (a) its income statement for this year and (b) the equity section of its balance sheet at this year-end (a) Income statement for this year (b) The equity section of its balance sheet at this year-end Rose Company had no short-term investments prior to this year It had the following transactions this year involving short term stock investments with insignificant influence April 16 Purchased 10,000 shares of Gem Company stock at $28.25 per share. July 7 Purchased 5,000 shares of Pepsico stock at S52.00 per share. July 20 Purchased 2,500 shares of Xerox stock at $15.00 per share. August 15 Received a $0.75 per share cash dividend on the Gem Company stock. August 28 Sold 5,000 shares of Gem Company stock at $35.00 per share. October 1 Received a $1.80 per share cash dividend on the PepsiCo shares. December 15 Received a $0e.90 per share cash dividend on the remaining Gem Company shares. December 31 Received a $1.05 per share cash dividend on the Pepsico shares. The year-end fair values per share are Gem Company, $30.50; PepsiCo, $49.25; and Xerox $12.00. Identify the dollar increase or decrease from Rose's short-term stock investments on (a) its income statement for this year and (b) the equity section of its balance sheet at this year-end (a) Income statement for this year (b) The equity section of its balance sheet at this year-end
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Ques 1 Date Accounts debit credit Apr16 short term investmentsAFS gem 840... View the full answer
Related Book For
Fundamental accounting principle
ISBN: 978-0078025587
21st edition
Authors: John J. Wild, Ken W. Shaw, Barbara Chiappetta
Posted Date:
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