Provide the required journal entries for Bob Ltd

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Question - On 1 July 2022 Bob Ltd acquired 100 000 shares in McTavish Ltd at a price of $10 each. There were brokerage fees of $1500. The closing market price of McTavish Ltd shares on 30 June 2023-which is the entity's financial year end-was $12.

REQUIRED -

a) Assuming that Bob Ltd has not made the election to account for its equity investments at fair value through OCI, then provide the required accounting journal entries for Bob Ltd to account for the investment in McTavish Ltd using fair value through profit or loss.

b) Provide the required journal entries for Bob Ltd to account for the investment in McTavish Ltd assuming that Bob Ltd has made the election to account for the equity investment at fair value through OCI.

Reference no: EM132969540

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