Entries for Investment in Bonds, Interest, and Sale of Bonds Parilo Company acquired $170,000 of Mak

 
   

Need your ASSIGNMENT done? Use our paper writing service to score better and meet your deadlines.  

Entries for Investment in Bonds, Interest, and Sale of Bonds Parilo Company acquired $170,000 of Makofske Co., 5% bonds on May 1, 2015, at their face amount. Interest is paid semiannually on May 1 and November 1. On November 1, 2045, Parilo Company sold $50,000 of the bonds for 96. Journalize the entries to record the following: If an amount box does not require an entry, leave it blank. a. The initial acquisition of the bonds on May 1. 2015 May 1 b. The semiannual interest received on November 1. 20Y5 Nov. 1 c. The sale of the bonds on November 1. 20Y5 Nov. 1 d. The accrual of $1,000 interest on December 31, 2045. 2015 Dec. 31 Entries for Stock Investments, Dividends, and Sale of Stock Seamus Industries Inc. buys and sells investments as part of its ongoing cash management. The following investment transactions were completed during the year: Feb. 24 May 16 July 14 Aug. 12 Oct. 31 Acquired 1,000 shares of Tett Co. stock for $85 per share plus a $150 brokerage commission. Acquired 2,500 shares of Issacson Co. stock for $36 per share plus a $100 commission. Sold 400 shares of Tett Co. stock for $100 per share less a $75 brokerage commission. Sold 750 shares of Issacson Co. stock for $32.50 per share less an $80 brokerage commission. Received dividends of $0.40 per share on Tett Co. stock. Journalize the entries for these transactions. In your computations, round per share amounts to two decimal places. When required, round final answers to the nearest dollar. For a compound transaction, if an amount box does not require an entry, leave it blank. Oct. 31 – II II I O I III III I I Equity Method On January 2, Yorkshire Company acquired 40% of the outstanding stock of Fain Company for $500,000. For the year ended December 31, Fain earned income of $140,000 and paid dividends of $50,000. Journalize the entries for Yorkshire Company for the purchase of the stock, the share of Fain income, and the dividends received from Fain Company. Jan. 2 – Purchase Dec. 31 – Income Dec. 31 – Dividends Equity Method for Stock Investment On January 4, 20Y6, Spandella Company purchased 175,000 shares of Filington Company directly from one of the founders for a price of $30 per share. Filington has 500,000 shares outstanding, including the Spandella shares. On July 2, 20Y6, Filington paid $620,000 in total dividends to its shareholders. On December 31, 20Y6, Filington reported a net income of $1,050,000 for the year. Spandella uses the equity method in accounting for its investment in Filington. a. Journalize the Spandella Inc. entries for the transactions involving its investment in Filington Company during 2016. 2016 Jan. 4 2014 July 2 ) 2016 Dec. 31 b. Determine the December 31, 2016, balance of the investment in Filington Company stock account.