User Account

All Pages

Prepare entries necessary to classify the amounts

Assignment Help Accounting Basics
Reference no: EM132600216

Question - Cardinal Paz Corp. carries an account in its general ledger called Investments, which contained debits for investment purchases, and no credits, with the following descriptions.

Feb. 1, 2019 Sharapova Company ordinary shares, $100 par, 200 shares $37,400 April 1 Government bonds, 11%, due April 1, 2025, interest payable April 1 and October 1, 110 bonds of $1,000 par each 110,000 July 1 McGrath Company 12% bonds, par $50,000, dated March 1, 2019 purchased at 104, plus accrued interest payable annually on March 1, due March 1, 2039 54,000

Instructions (Round all computations to the nearest dollar.)

a. Prepare entries necessary to classify the amounts into proper accounts, assuming that Paz plans to actively manage these investments.

b. Prepare the entry to record the accrued interest on December 31, 2019.

c. The fair values of the investments on December 31, 2019, were: Sharapova Company shares $ 31,800 Government bonds 124,700 McGrath Company bonds 58,600 What entry or entries, if any, would you recommend be made?

d. The government bonds were sold on July 1, 2020, for $119,200 plus accrued interest. Give the proper entry.

Reference no: EM132600216

Questions Cloud

Which do believe present greatest threat to civil society : Which do you believe presents the greatest threat to civil society: a corporation that commits crimes (e.g., murder, environmental crimes, or bribery)
How much should be recognized as the cost of the new machine : Cash allowance granted because the new machine proved to be of inferior quality - P100,000. How much should be recognized as the cost of the new machine
Security policies are important in corporate environment : Security policies are very important in the corporate environment.
False discovery rate : The false discovery rate (FDR) provides an error metric to measure the rate of false positives/false discoveries.
Prepare entries necessary to classify the amounts : Prepare entries necessary to classify the amounts into proper accounts, assuming that Paz plans to actively manage these investments
ACCC5000 Cloud Computing Technologies Assignment : ACCC5000 Cloud Computing Technologies Assignment Help and Solution, University of Wales - Assessment Writing Service - Demonstrate a systematic understanding
What is the internal rate of return on the proposed minibus : Malayo School District uses a hurdle rate of 12 percent on all capital projects. What is the internal rate of return on the proposed minibus acquisition
Examine it infrastructure policies : Describe IT infrastructure policies based on the scenario given. You work for a large, private health care organization that has server,
Social organizations and core competencies : Investigate the importance of effective change leadership in relation to an organization's adoption of social media initiatives

Reviews

Write a Review

Accounting Basics Questions & Answers

  How do dividends impact the value of a share of stock are

1. what are some of the most important risks associated with bonds?2. how do dividends impact the value of a share of

  Compute break-even point contribution margin

What effect would an increase in the selling price of the product have on the break-even point and the contribution margin?

  Garcia company produces hockey helmets the standard cost

garcia company produces hockey helmets. the standard cost for each helmet is as follows per helmet direct material 5.0

  Do the tax consequences change if marilyns assignment is

marilyn a business executive who lives and works in cleveland accepts a temporary out-of-town assignment in atlanta for

  What is your best estimate of the damages in this case

If you are the accounting expert witness for Eastside Seafood Store, what is your best estimate of the damages in this case

  Determine the break-even point for each alternative

Determine the break-even point for each alternative.

  What is the expected annual real rate of interest

The two-year nominal interest rate is 10% and the expected annual inflation rate is 5%. What is the expected annual real rate of interest?

  Journalize required transactions on July

On July 1, 2013, Avery Services issued a long-term note payable for $10,000. Journalize required transactions on July, 1 2013

  What should be report as net source from financing activity

What should be reported as the net source or use of cash from financing activities on the Year 2 statement of cash flows? transactions related to its financial

  How do make the journal entry or entries that Thor Corp have

How do make the journal entry or entries that Thor Corp. would have prepared to adjust for this change during 2017. If you think no entry was prepared

  Prepare appropriate entries for international machines

Prepare appropriate entries for International Machines to record the arrangement at its commencement, January 1, 2013, and on March 31,2013.

  Make the entry to record the partial refunding

Make the entry to record the partial refunding. Assume Latty Co. makes reversing entries when appropriate

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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