Question
S&L Financial buys and sells securities expecting to earn profits on short-term differences in price. On...
S&L Financial buys and sells securities expecting to earn
profits on short-term differences in price. On December 27, 2021,
S&L purchased Coca-Cola bonds at par for $875,000 and sold the
bonds on January 3, 2022, for $880,000. At December 31, the bonds
had a fair value of $873,000.
Prepare journal entries to record (a) any unrealized gains or
losses occurring in 2021 and (b) the sale of the bonds in 2022
1) Record the unrealized gains or losses occurring at year end.
Dec 31, 2021
Debit
Credit
2) Record the unrealized gains or losses occurring on the date of sale.
Jan 03, 2022
Debit
Credit
3)Record the sale of the Coca-Cola bonds in 2022.
Jan 03, 2022
Debit
Credit
Homework Answers
Answer #1
Not the answer you're looking for?
Similar Questions
S&L Financial buys and sells securities expecting to earn profits on short-term differences in price. On...
S&L Financial buys and sells securities expecting to earn
profits on short-term differences in price. On December 27, 2018,
S&L purchased Coca-Cola bonds at par for $875,000 and sold the
bonds on January 3, 2019, for $880,000. At December 31, the bonds
had a fair value of $873,000. Prepare journal entries to record (a)
any unrealized gains or losses occurring in 2018 and (b) the sale
of the bonds in 2019.
S&L Financial buys and sells securities expecting to earn profits on short-term differences in price. On...
S&L Financial buys and sells securities expecting to earn
profits on short-term differences in price. On December 27, 2018,
S&L purchased Coca-Cola bonds at par for $875,000 and sold the
bonds on January 3, 2019, for $880,000. At December 31, the bonds
had a fair value of $873,000. Prepare journal entries to record (a)
any unrealized gains or losses occurring in 2018 and (b) the sale
of the bonds in 2019.
S&L Financial buys and sells securities which it classifies as available-for-sale. On December 27, 2021, S&L...
S&L Financial buys and sells securities which it classifies
as available-for-sale. On December 27, 2021, S&L purchased
Coca-Cola bonds at par for $879,000 and sold the bonds on January
3, 2022, for $885,000. At December 31, the bonds had a fair value
of $875,000, and S&L has the intent and ability to hold the
investment until fair value recovers.
Prepare journal entries to record (a) any unrealized gains or
losses occurring in 2021 and (b) the sale of the bonds...
S&L Financial buys and sells securities which it classifies as available-for-sale. On December 27, 2021, S&L...
S&L Financial buys and sells securities which it classifies
as available-for-sale. On December 27, 2021, S&L purchased
Coca-Cola bonds at par for $898,000 and sold the bonds on January
3, 2022, for $906,000. At December 31, the bonds had a fair value
of $892,000, and S&L has the intent and ability to hold the
investment until fair value recovers. Prepare journal entries to
record (a) any unrealized gains or losses occurring in 2021 and (b)
the sale of the bonds...
S&L Financial buys and sells securities which it classifies as available-for-sale. On December 27, 2018, S&L...
S&L Financial buys and sells securities which it classifies
as available-for-sale. On December 27, 2018, S&L purchased
Coca-Cola bonds at par for $894,000 and sold the bonds on January
3, 2019, for $901,500. At December 31, the bonds had a fair value
of $890,000, and S&L has the intent and ability to hold the
investment until fair value recovers.
Prepare journal entries to record (a) any unrealized gains or
losses occurring in 2018 and (b) the sale of the bonds...
S&L Financial buys and sells securities which it classifies as available-for-sale. On December 27, 2018, S&L...
S&L Financial buys and sells securities which it classifies
as available-for-sale. On December 27, 2018, S&L purchased
Coca-Cola bonds at par for $884,000 and sold the bonds on January
3, 2019, for $890,000. At December 31, the bonds had a fair value
of $881,000, and S&L has the intent and ability to hold the
investment until fair value recovers.
Prepare journal entries to record (a) any unrealized gains or
losses occurring in 2018 and (b) the sale of the bonds...
S&L Financial buys and sells securities which it classifies as available-for-sale. On December 27, 2018, S&L...
S&L Financial buys and sells securities which it classifies
as available-for-sale. On December 27, 2018, S&L purchased
Coca-Cola bonds at par for $900,000 and sold the bonds on January
3, 2019, for $908,500. At December 31, the bonds had a fair value
of $893,000, and S&L has the intent and ability to hold the
investment until fair value recovers.
Prepare journal entries to record (a) any unrealized gains or
losses occurring in 2018 and (b) the sale of the bonds...
S&L Financial buys and sells securities which it classifies as available-for-sale. On December 27, 2018, S&L...
S&L Financial buys and sells securities which it classifies
as available-for-sale. On December 27, 2018, S&L purchased
Coca-Cola bonds at par for $892,000 and sold the bonds on January
3, 2019, for $900,000. At December 31, the bonds had a fair value
of $885,000, and S&L has the intent and ability to hold the
investment until fair value recovers.
Prepare journal entries to record (a) any unrealized gains or
losses occurring in 2018 and (b) the sale of the bonds...
S&L Financial buys and sells securities which it classifies as available-for-sale. On December 27, 2018, S&L...
S&L Financial buys and sells securities which it classifies
as available-for-sale. On December 27, 2018, S&L purchased
Coca-Cola bonds at par for $892,000 and sold the bonds on January
3, 2019, for $900,000. At December 31, the bonds had a fair value
of $885,000, and S&L has the intent and ability to hold the
investment until fair value recovers.
Prepare journal entries to record (a) any unrealized gains or
losses occurring in 2018 and (b) the sale of the bonds...
Rantzow-Lear Company buys and sells debt securities expecting to earn profits on short-term differences in price,...
Rantzow-Lear Company buys and sells debt securities expecting to
earn profits on short-term differences in price, and holds these
investments in its trading portfolio. The company’s fiscal year
ends on December 31. The following selected transactions relating
to Rantzow-Lear’s trading account occurred during December 2021 and
the first week of 2022.
2021
Dec.
17
Purchased 180 Grocers’ Supply Corporation bonds at par for
$450,000.
28
Received interest of $5,200 from the Grocers’ Supply
Corporation bonds.
31
Recorded any necessary adjusting...
ADVERTISEMENT
Need Online Homework Help?
Get Answers For Free
Most questions answered within 1 hours.
ADVERTISEMENT
Active Questions
asked 13 minutes ago
asked 15 minutes ago
asked 15 minutes ago
asked 26 minutes ago
asked 29 minutes ago
asked 45 minutes ago
asked 54 minutes ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago
asked 1 hour ago