Reference no: EM131020582
During January 2014, Aerogem purchased the following securities
Security Classification # of Shares Total Cost
Gimli Corporation stock Trading 500 $9,000
Legolas International Inc stock Available for sale 1,000 $22,000
Glorfindel Enterprises stock Available for sale 2,500 $42,500
Mirkwood Co bonds Held to maturity $24,000
U.S. Treasury bonds Trading $11,000
During 2014, Aerogem received interest from Mirkwood and the U.S. Treasury totaling $3,630. Dividends received on the stock held amounted to $1,760. During November 2014, Aerogem sold 200 shares of the Gimli stock at $17 per share and 250 shares of the Glorfindel stock at $19 per share.
Give the journal entries required by Aerogem to record the (1) purchase of the debt and equity securities; (2) receipt of interest and dividends during 2014, and (3) sale of the equity securities during November. Gains and Losses s/b recorded in seperate accounts.
|
What is the cost of the land
: Burleson, Inc. purchased a tract of land, a small office building, and some equipment for $1,500,000. The appraised value of the land was $850,000, the building $675,000, and the equipment $475,000. What is the cost of the land?
|
|
Is the cross-price elasticity of demand
: Is the cross-price elasticity of demand between gasoline and high-mileage subcompact cars positive or negative? Is the cross-price elasticity of demand between gasoline and low-mileage SUVs and full-size pickups positive or negative? Briefly expla..
|
|
Considering an investment that costs-expected to generate
: Your company is considering an investment that costs $560,000 and is expected to generate $90,000 per year for 10 years. If your company uses a discount rate (MARR) of 12% for these types of investments, what is the NPW? Based on the NPW, do you reco..
|
|
Prepare financial statement analysis of aquatic biotechnol
: Prepare a financial statement analysis of Aquatic Biotechnology Inc - After completing the calculated analysis you will then identify any issues, the risk and impacted account(s) and the audit assertion affected.
|
|
Dividends received on the stock held amounted
: During 2014, Aerogem received interest from Mirkwood and the U.S. Treasury totaling $3,630. Dividends received on the stock held amounted to $1,760. During November 2014, Aerogem sold 200 shares of the Gimli stock at $17 per share and 250 shares of t..
|
|
How much will debt holders gain or lose
: How much will equity holders gain or lose by recapitalizing to reduce leverage? How much will debt holders gain or lose? Would you expect Petron's management to choose to reduce its leverage?
|
|
Business transactions between store norske
: Store Norske is considering using Coal India Limited to assist them in their international business operations. What issues will Store Norske have to address with respect to any business transactions between Store Norske and Coal India Limited? Di..
|
|
The task of estimating the value of its equity
: Icarus Airlines is proposing to go public, and you have been given the task of estimating the value of its equity. Management plans to maintain debt at 36% of the company’s present value, and you believe that at this capital structure the company’s d..
|
|
Are the cross-price elasticities of demand
: Are the cross-price elasticities of demand between the following pairs of products likely to be positive or negative? Briefly explain. Iced coffee and iced tea and French fries and ketchup.
|