On April 25, Mineral Corporation acquired 50,000 shares of the 550,000 outstanding common stock of Pluto Co. at $35 plus commission charges of $500. On June 10, a cash dividend of $1.75 per share was received.Â
On October 10, 8,000 shares were sold at $43 less commission charges of $500.Â
At the end of the accounting period on December 31, the fair value of the remaining 42,000 shares of Mineral Company’s stock was $42.00 per share.Â
Journalize the entries forÂ
(a) the purchase of stock,
(b) the receipt of dividends,Â
(c) the sale of 8,000 shares, andÂ
(d) the change in fair value.
