During the fourth quarter of 2017, Alpha Company acquired the following trading

Question

During the fourth quarter of 2017, Alpha Company acquired the following trading securities: # of | Price per Date Company Shares Share 10/15 Yankee Company00s50 X-ray Company 1,000 35 1,000 26 10/31 Zulu Company On November 10th, Alpha Company sold the X-ray Company stock for $30 per share. On December 24th, Zulu Company paid dividends of $0.25 per share. The following were the year-end market values: FMV per Share Company Yankee Company x-ray Company Zulu Company $55 20 15 What the total dollar values that Alpha Company should record for the following: (Enter whole dollars only, for loss amounts enter the $ & value inside of the brackets.) 1. Realized Gain/Loss during 2017 2. Unrealized Gain/Loss on Trading Securities for 2017 3. Dividend Income

Explanation / Answer

Requirement 1 Realized Loss during 2017 X-Ray Company =(30-35)*1000 = -5000 Requirement 2 Unrealized Gain(Loss) on trading securities Yankee Company = =(55-50)*1000 5000 Zulu Company = =(15-26)*1000 -11000 Total net unrealized Loss -6000 Requirement 3 Dividend Income Zulu Company = =0.25*1000 250 As per the policy of Chegg, we are supposed to answer one question at a time. Thank You

Related Questions

Navigate

• Browse (All)
• Browse D
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.