Last First A. Marketable Securities (25 points) 1. In the ledger accounts provid

Question

Last First A. Marketable Securities (25 points) 1. In the ledger accounts provided below, record the following events. Dec. 1: Buy 100 shares of IBM at $100 per share. Dec. 11: Buy 50 shares of IBM at $110 per share. Dec. 31: The market price of IBM common stock is $120 per share. Jan. 8: Sell 150 shares of IBM for $130 per share. Unrealized Holding Gain/(LoSS Cash Realized Gain/(Loss) on the Sale of Marketable Securities Marketable Securities 2. Complete the equity section of the company's balance sheet as of December 31, below: Equity Capital Stock Retained Earnings 2,000,000 4,500,000 Total equity

Explanation / Answer

ans 1 Cash 8-Jan 19500 1-Dec 10000 (150*130) 11-Dec 5500 marketable securities 1-Dec 10000 11-Dec 5500 31-Dec 2500 Unrealized Holding Gain/(loss) 31-Dec 2500 (100*20)+(50*10) Realized gain on sale of marketable sec 8-Jan 1500 (150*10) ans 2 Equity Section Capital stock 2000000 Retained Eranings 4500000 Total stockholder Equity 6500000

Related Questions

Navigate

• Browse (All)
• Browse L
• Subjects

---

---

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