Question
In: Accounting
(TCO B) The following information pertains to Fox Inc.’s portfolio of marketable securities for the Year...
(TCO B) The following information pertains to Fox Inc.’s portfolio of marketable securities for the Year ended Dec 31, Year 1 and Dec 31, Year 2.
| Cost | Fair Value at 12/31 Year 1 | Year 2 Activity: Purchases | Year 2 Activity: Sales | Fair Value at 12/31 Year 2 | |
| Trading Securities | |||||
| Smith Co. | $230,000 | $240,000 | $235,000 | ||
| Jones Co | $290,000 | $275,000 | $285,000 | ||
| Available for Sale Securities | |||||
| Williams's Co. | $270,000 | $245,000 | $255,000 | N/A | |
| Gores Co. | $250,000 | $235,000 | $265,000 | ||
| Held to Maturity Securities | |||||
| Martin Co. | 1,400,00 | $1,250,000 |
Note 1: Fox Inc. uses US GAAP
Note 2: Fox Inc. uses valuation accounts to record changes in the
fair value of its marketable securities
Note 3: The Martin Co. security was purchase at par value
Note 4: The decline in the value of Martin Co. is considered to be
other than temporary
Requirement:
Record the journal entries for the following marketable securities
transactions based on the information given in the table.
- (1) Mark to market journal entry for the Smith Co security at 12/31 Year 1
- (2) Mark to market journal entry for the Williams Co security at 12/31 Year 1
- (3) Mark to market journal entry for the Smith Co security at 12/31 Year 2
- (4) Mark to market journal entry for the Williams Co security at 12/31 Year 2
- (5) Journal entry to record purchase of Martin Co. Investment
- (6) Journal entry to record the impairment of Martin Co. Investment
Solutions
ekkarill92 answered 2 months agoRelated Solutions
The following information pertains to Lynx Corporation’s portfolio of marketable securities for the years ended December...
The following information pertains to Lynx Corporation’s
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Year 1, and December 31, Year 2:
Cost
Fair Value (12/31/Y1)
Activity Y2
Fair Value (12/31/Y2)
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Received 3,000 interest
93,500
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Stock C
75,000
68,000
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Additional Notes:
•
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Cost
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12/31/25
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$155,000
$145,000
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130,000
110,000
What amount should Traverse Co. report as unrealized holding
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Select one:
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shares of BCB common stock purchased for $60 per share. At December
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for the year ended December 31, 2015.
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A/R increased by $ 5,000 during the year
Merchandise Inventory decreased by $ 29,000 during the
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ShortTerm Notes Payable showed a net decrease of $...
In 2011, a firm purchased a portfolio of marketable securities for $2,000, which it holds as...
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Liabilities at the end of the year, December 31, 2018 =
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Contributed capital at the end of the year, December 31, 2018 =
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Beginning retained earnings, January 1, 2018 = $300
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What is the amount of the company's total assets at December 31,
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The following information pertains to the first year of
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2,800
Number of units sold
2,600
Unit sales price
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Direct materials per unit
$
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Direct labor per unit
$
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Variable manufacturing overhead per unit
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Fixed manufacturing overhead per unit ($224,000/2,800
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$
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Total variable selling expenses ($14 per unit sold)
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The following information pertains to the first year of
operation for Crystal Cold Coolers Inc.:
Number of units produced
3,000
Number of units sold
2,300
Unit sales price
$
340
Direct materials per unit
70
Direct labor per unit
40
Variable manufacturing overhead per unit
11
Fixed manufacturing overhead per unit ($180,000/3,000
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60
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Johnson Inc. had the following transactions for January: 1. Purchased marketable securities in Smith Company for...
Johnson Inc. had the following transactions for January:
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2. Purchased 1,000 shares of Parker Co. for $55,000 as a long
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The following information was drawn from the year-end balance sheets of Fox River, Inc.: Account Title...
The following information was drawn from the year-end balance
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Account Title
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Year 1
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