Reference no: EM131247546
Information regarding Carperk Company's individual investments in securities during its calendar-year 2013, along with the December 31, 2013, fair values, follows a. Investment in Brava Company bonds: $492,600 cost, $535,456 fair value. Carperk intends to hold these bonds until they mature in 2018. b. Investment in Baybridge common stock: 29,500 shares; $391,617 cost; $425,688 fair value. Carperk owns 32% of Baybridge's voting stock and has a significant influence over Baybridge. c. Investment in Buffa common stock: 12,000 shares; $201,966 cost; $217,719 fair value. This investment amounts to 3% of Buffa's outstanding shares, and Carperk's goal with this investment is to earn dividends over the next few years. d. Investment in Newton common stock: 3,500 shares; $112,313 cost; $110,404 fair value. Carperk's goal with this investment is to reap an increase in fair value of the stock over the next three to five years. Newton has 30,000 common shares outstanding. e. Investment in Farmers common stock: 16,300 shares; $123,150 cost; $130,785 fair value. This stock is marketable and is held as an investment of cash available for operations. Required: 1. Identify whether each investment should be classified as a short-term or long-term investment. For each long-term investment, indicate in which of the long-term investment classifications it should be placed.(Select "NA" in classification of long-term investment, if the type of investment is short term.) 2. Prepare a journal entry dated December 31,2013 to record the fair value adjustment of the long term investments in available for sale securities. Carperk had no long term investments prior to year 2013
|
Consisted of raw materials classified as indirect materials
: Stelmack Corporation, a manufacturing Corporation, has provided data concerning its operations for September. The beginning balance in the raw materials account was $20,000 and the ending balance was $27,000. Manufacturing overhead cost incurred duri..
|
|
Parents file joint return and report taxable income
: Taylor, age 16, is claimed as a dependent by her parents. For 2016, she records the following income: $4,000 wages from a summer job, $1,820 interest from a money market account, and $2,100 interest from City of Boston bonds. Assume that Taylor's tax..
|
|
What should be the total cost of operating the helpline cost
: Kodama Corporation staffs a helpline to answer questions from customers. The costs of operating the helpline are variable with respect to the number of calls in a month. At a volume of 30,000 calls in a month, the costs of operating the helpline tota..
|
|
What was the companys cost of goods sold for the month
: Gabat Inc. is a merchandising company. Last month the company's merchandise purchases totaled $67,000. The company's beginning merchandise inventory was $19,000 and its ending merchandise inventory was $22,000. What was the company's cost of goods so..
|
|
The long term investments in available for sale securities
: Information regarding Carperk Company's individual investments in securities during its calendar-year 2013, along with the December 31, 2013, fair values, follows. Investment in Brava Company bonds: $492,600 cost, $535,456 fair value. Carperk intends..
|
|
Estimated percentage completion to be increased or decreased
: Gary Stevens and Mary James are production managers in the Consumer Electronics Division of General Electronics Company, which has several dozen plants scattered in locations throughout the world. Mary manages the plant located in Des Moines, Iowa, w..
|
|
Prepare traditional income statement
: Prepare a traditional (absorption) income statement for Maryville, Inc., for the month of August . Assume that sales for the month were $264,867 and the company's effective income tax rate was 40%.
|
|
Internal controls for e-commerce and bank account controls
: Internal controls. Of the presentation of internal controls, internal controls for e-commerce and bank account controls, identify one and explain how it would be implemented and how it would then protect the company's assets.
|
|
Stockholders equity common stock-retained earnings
: Calculate the missing amounts. DONAVAN, INC. Balance Sheet Assets Cash $ 14,600 Inventory 17,600 Buildings 37,400 Total assets $69,600 Liabilities and Stockholders' Equity Liabilities Accounts payable $ 5,000 Stockholders' Equity Common stock (a) Ret..
|