Prepare entries (A) and (D) in assuming the equity securties were classfied as available-for-sale: ...
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Prepare entries (A) and (D) in assuming the equity securties were classfied as available-for-sale:
The Korman Company portfolio of trading equity securities appeared as follows on December 31, 2011: Cost $182,000 Fair Value $195,500 25,500 $221,000 10,000 shares of Gant, Common 600 shares of Werth Stores, Common 27,550 $209,550 Instructions Prepare the general journal entries for Korman Company for: (a) the 2010 adjusting entry. (b) the sale of the Thomas Corp. stock. (c) the purchase of the Werth Stores' stock. (d) the 2011 adjusting entry Solution 17-129 12-31-10 8,000 Securities Fair Value Adjustment (Trading) 8,000 ($337,000 - $329,000) Cash (5,000 $31)-$1,500] ...153,500 1,500 155,000 27,550 Cash [(600 x $45) + $550] 27,550 12-31-11 Securities Fair Value Adjustment (Trading)........................ Unrealized Holding Gain or Loss-Income. 19,450
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