User Account

All Pages

Prepare the journal entries for splish for investment

Assignment Help Accounting Basics
Reference no: EM131986279

Question - On August 15, 2016, Splish Co. invested idle cash by purchasing a call option on Counting Crows Inc. common shares for $432. The notional value of the call option is 480 shares, and the option price is $48. The option expires on January 31, 2017. The following data are available with respect to the call option.

Date Market Price of Counting Time Value of Call

Crows Shares Option

September 30, 2016 $58 per share $216

December 31, 2016 $55 per share 78

January 15, 2017 $56 per share 36

Prepare the journal entries for Splish for the following dates.

(a) Investment in call option on Counting Crows shares on August 15, 2016.

(b) September 30, 2016-Splish prepares financial statements.

(c) December 31, 2016-Splish prepares financial statements.

(d) January 15, 2017-Splish settles the call option on the Counting Crows shares.

Reference no: EM131986279

Questions Cloud

Insourcing versus outsourcing your it needs : Evaluate the strengths and weaknesses of insourcing versus outsourcing your IT needs, and make a final recommendation based on that evaluation.
Contribute to final claim reimbursement amount : Discuss the factors that combine to contribute to final claim reimbursement amount.
Research one major criminal justice system : Compare and contrast the system to the American criminal justice system from the following perspectives.
Calculate the discount date and the net date : calculate the discount date and the net date for the following transactions. Unless otherwise specified, the net date is 20 days after the discount date
Prepare the journal entries for splish for investment : Prepare the journal entries for Splish for the following dates. Investment in call option on Counting Crows shares on August 15, 2016
Make a mips program that deal the cards face down : Make a MIPS Assembly Language program that Deal the cards face down. Create a map structure to map mouse click co-ordinates to cards.
Do you understand the results : What recommendations do you have for presenting the results of this research so that a police executive could use them?
How to make lcd display into a vu meter that senses channel : How to Make the LCD display into a VU meter that senses the analog channel 0? Have it respond in real time to the analog input?
Determine the new number of shares outstanding : Determine the new number of shares outstanding in SMO has a five-for-three stock split and SMO has a 42.5 percent stock dividend

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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