Prepare all the necessary journal entries for the sale

Assignment Help Financial Accounting
Reference no: EM132739594

At the beginning of the year, Asteroid Corp. purchased 300 common shares of Shield Inc. for $23,400 and accounted for them using FV-OCI (no recycling). During the year, Shield paid a cash dividend of $3.25 per share. On December 31, 2020 (yearend), Shield shares had a fair value of $74.50 per share. On January 1, 2021, Asteroid sold all shares of Shield for $75.00.

Problem 1: Based on information above, prepare all the necessary journal entries up to and including December 31, 2020

Problem 2: Based on information above, prepare all the necessary journal entries for the sale of the investment on January 1, 2021

Reference no: EM132739594

Questions Cloud

Prepare the entry to record the exchange of the machine : Assuming that the exchange had commercial substance, prepare the entry to record the exchange of the machine for the computer.
Innovation and change improve one managerial skills : How will taking a course in innovation and change improve one's managerial skills? Explain.
Summarized recommending specific strategic actions : Summarized recommending specific strategic actions for your product focus - Using the PESTEL Analysis, write no longer than a one-page Executive Summary
Which is a goal of working capital management : Which is a goal of working capital management? To lengthen the span of time between payment of accounts payable and collection of accounts receivable
Prepare all the necessary journal entries for the sale : At the beginning of the year, Asteroid Corp. Prepare all the necessary journal entries for the sale of the investment on January 1, 2021
What are the main functions of that institution : What are the main functions of that Market and Who are the main participants in the Market and what is their role
Compute the depreciation charge on the equipment : Compute the depreciation charge on this equipment for 2015, for 2022, and the total charge for the period from 2016 to 2021, inclusive
Analyze the tour costing of categories : You are a manager of Bengal Tours, a popular travel agency in Bangladesh, which has been operating tours in Bangladesh and abroad. Your company
Present the journal entries relating to new product patent : Lunar Pharmaceuticals has spent, Present the journal entries relating to this new product patent for the 2019 and 2020 fiscal years. Explain your reasoning.

Reviews

Write a Review

Financial Accounting Questions & Answers

  Calculate river city payroll departments cost per check

Calculate River City payroll department's cost per check. Based on costs would it be cheaper to maintain the payroll department or contract out for the payroll services?

  Prepare the adjusting journal entries required

ACCT3013 Financial Statement Analysis Workshop Tutorial Assignment. Prepare the adjusting journal entries required to capitalize Delta's operating leases, and verbally describe the impact of the recapitalization of operating leases on the 2016 fina..

  How much is the total long-term assets

The table summarizes information about some assets of a firm. How much is the total long-term assets? Accounts Receivable, Machinery

  What was the equipments net book value at the end

$500,000 salvage value. Assume these estimates are not altered over the years. What was the equipment's net book value at the end of 2019?

  How much money will you have just after you make

How much money will you have just after you make your last deposit forty years from today - How much money will you have 5 years later

  Compute the net present value of the investment

Bryant Company has obtained the following data about a possible planned investment: Compute the net present value of the investment. Compute the payback period.

  Make adjusting entries and adjusted trial balance

Make adjusting entries and adjusted trial balance

  Variable overhead spending variance using formula approach

Standish Company manufactures consumer products and provided the following information for the month of February: Calculate the variable overhead spending variance using the formula approach. Calculate the variable overhead efficiency variance using ..

  What are the steps to opening a new company in pca

Bank reconciliations require several steps of comparison between the bank records and the company records. What are the different steps of bank reconciliation in a manual environment and computerized environment?

  Provide the journal entries to account for the receipt

First Point Ltd, Provide the journal entries to account for the receipt of the application monies and the subsequent allotment of the shares.

  How many years will take for the account to reach

You will be ready to purchase the new home once your savings account grows to R25,000. How many years will it take for the account to reach R25,000?

  How should the company classify the fccbs on march

How should the company classify the FCCBs on 31st March 2013? Will your answer be different if the company expects that FCCBs holders will convert

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd