Prepare journal entries for each of the above

Reference no: EM13599164

Castleman Holdings, Inc. had the following available-for-sale investment portfolio at January 1, 2010.

1,000 shares of Evers Company at $21.00 per share $21,000
900 shares of Rogers Company at $24.00 per share $21,600
500 shares of Chance Company at $7.00 per share $3,500
Available-for-sale securities at cost: $46,100
Securities fair value adjustment-Available-for-sale - Credit balance ($7,500)
Available-for-sale securities at fair value: $38,600

During 2010, the following transactions took place:
1. On March 1, Rogers Company paid a $2.50 per share dividend.
2. On April 30, Castleman Holdings, Inc. sold 300 shares of Chance Company for $10.00 per share
3. On May 15, Castleman Holding, Inc. purchased 100 more shares of Evers Co. stock at $12.00 per share
4. At December 31, 2010, the stocks had the following price per share values:

Evers Company $23.00
Rogers Company $22.50
Chance Company $9.00

During 2011, the following transactions took place:
5. On February 1, Castleman Holding, Inc. sold the remaining Chance shares for $8.50 per share.
6. On March 1, Rogers Company paid a $3.00 per share dividend.
7. On December 21, Evers Company declared a cash dividend of $2.00 per share to be paid in the next month.
8. At December 31, 2011, the stocks had the following price per share values:

Evers Company $24.00
Rogers Company $23.00

(a) Prepare journal entries for each of the above transactions.
(b) Prepare a partial balance sheet showing the Investments account at December 31, 2010 and 2011.

Reference no: EM13599164

Questions Cloud

Kirby airlines is a small airline that occasionally carries : kirby airlines is a small airline that occasionally carries overload shipment for the overnight delivery company

Describe the qualitative factors that ellis quilting : ellis quilting company makes blankets that it markets through a variety of department stores. it makes the blankets in

The steps in the accounting cycle for a merchandising : the steps in the accounting cycle for a merchandising company are different from the accounting cycle for a service

A firm applies fixed manufacturing overhead costs based on : a firm applies fixed manufacturing overhead costs based on the number of machine hours.last year the firm incurred

Prepare journal entries for each of the above : castleman holdings inc. had the following available-for-sale investment portfolio at january 1 2010. 1000 shares of

Hunt manufacturing makes tents that it sells directly to : hunt manufacturing makes tents that it sells directly to camping enthusiasts through a mail order marketing program.

For many years dover company manufactured a single product : for many years dover company manufactured a single product called a mono-relay. then three years ago the company

After seeing these figures roamings president remarked that : roaming bicycle manufacturing company currently produces the handlebars used in manufacturing its bicycles which are

Identify each cost as being relevant or irrelevant to ms : leah friend is trying to decide which two different kinds of candy to sell in her retail candy store. one type is a

User Account

All Pages