On May 20, Montero Company paid $174,000 to acquire 50 shares (8%) of ORD Corporation...
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Accounting
On May 20, Montero Company paid $174,000 to acquire 50 shares (8%) of ORD Corporation as a long-term investment. On August 5, Montero sold one-tenth of the ORD shares for $20,000.
1)Prepare entries to record both the acquisition and the sale of these shares.
2)Should this stock investment be reported at fair value or at cost on the balance sheet?
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