Question
Penn Company has the following portfolio of investment securities at September 30, 2020, its most recent...
Penn Company has the following portfolio of investment securities at September 30, 2020, its most recent reporting date.
|
Investment Securities |
Cost |
Fair Value |
||
|
Green, Inc. common (4,720 shares) |
$207,680 |
$192,760 |
||
|
Blue, Inc. preferred (3,210 shares) |
125,190 |
131,880 |
||
|
White Corp. common (1,080 shares) |
183,600 |
182,500 |
On October 10, 2020, the Green shares were sold at a price of $55
per share. In addition, 2,840 shares of Yellow common stock were
acquired at $56 per share on November 2, 2020. The December 31,
2020, fair values were Blue $95,720, Yellow $129,930, and White
$196,230.
Prepare the journal entries to record the sale, purchase, and
adjusting entries related to the equity securities in the last
quarter of 2020. (Credit account titles are
automatically indented when amount is entered. Do not indent
manually. If no entry is required, select "No Entry" for the
account titles and enter 0 for the amounts.)
|
Date |
Account Titles and Explanation |
Debit |
Credit |
||
|
????? |
|||||
|
????? |
|||||
|
???????????? |
|||||
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