Provide the journal entries for the transactions above including the 12/31/13

Sigchi4life
Category:
Accounting
Price: $5 USD

Question description

Beauty Corp has an investment portfolio in which they keep investments in equity securities and debt instruments. They don't regularly buy and sell for short term gains and they also don't debt instruments until maturity. Beauty Corp had the following transactions in 2013 and 2014. 1/15/13: Purchased 1000 shares of Bounty for $25 per share and paid a $200 commission to their broker. The commission is part of the basis. 3/12/13: Received a 4$ per share dividend on Bounty. 5/4/13: Purchased 2000 shares of Burner for $65 per share and paid a $1,600 commission to their broker. 7/1/13: Purchased 20 $1000 10 year 6% par bonds from Flier Inc for par value ($1,000). The bonds pay interest semiannually on 12/31 and 6/30. There was no commission paid because they bought the m directly from Flier. 9/2/13: Sold all of Bounty shares for $22 per share 10/1/13: Purchased 600 shares of Clarey for $22 per share and paid a $350 broker fee. 2/1/14: Sold all of the Flier bonds for $1,050 per bond Provide the journal entries for the transactions above including the 12/31/13 adjusting entries. The market price for Flier is $995 per bond. Burner is $60 per share. Clarey has soared to $70 per share on 12/31/13. The 12/31/12 balance in the investment account was zero.

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(Top Tutor) Daniel C.
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