Prepare the journal entries for receipt of dividends

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Problem 1: Brady's Brunch purchases 10% of the outstanding stock of Texas Suppliers for $35,000 on January 1, 20Y5. On May 15, 20Y5, Brady's Brunch receives $1,000 in dividends from Texas Suppliers. Brady's Brunch sells half of the stock in Texas Suppliers for $18,900 on November 25, 20Y5. Prepare the journal entries for the following:

a. Purchase of Texas Suppliers' stock

b. Receipt of dividends

c. Sale of Texas Suppliers' stock

Reference no: EM132805887

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