Korman Company has the following securities in its portfolio of trading securities on December 31, 2014: All of the securities had been purchased in 2014. In 2015, Korman completed the following securities transactions:March 1 Sold 5,000 shares of Thomas Corp., Common @ $31 less fees of $1,500.April 1 Bought 600 shares of Werth Stores, Common @ $45 plus fees of $550.The Korman Company portfolio of trading securities appeared as follows on December 31, 2015:
InstructionsPrepare the general journal entries for Korman Company for:
(a) the 2014 adjusting entry.
(b) the sale of the Thomas Corp. stock.
(c) the purchase of the Werth Stores' stock.(d) the 2015 adjusting entry.

Question

Korman Company has the following securities in its portfolio of trading securities on December 31, 2014:  All of the securities had been purchased in 2014. In 2015, Korman completed the following securities transactions:March 1 Sold 5,000 shares of Thomas Corp., Common @ $31 less fees of $1,500.April 1 Bought 600 shares of Werth Stores, Common @ $45 plus fees of $550.The Korman Company portfolio of trading securities appeared as follows on December 31, 2015:  
InstructionsPrepare the general journal entries for Korman Company for:
(a) the 2014 adjusting entry.
(b) the sale of the Thomas Corp. stock.
(c) the purchase of the Werth Stores' stock.(d) the 2015 adjusting entry.

Quizplus · Accepted Answer

The Answer of Korman Company has the following securities in its portfolio of trading securities on December 31, 2014:  All of the securities had been purchased in 2014. In 2015, Korman completed the following securities transactions:March 1 Sold 5,000 shares of Thomas Corp., Common @ $31 less fees of $1,500.April 1 Bought 600 shares of Werth Stores, Common @ $45 plus fees of $550.The Korman Company portfolio of trading securities appeared as follows on December 31, 2015:  
InstructionsPrepare the general journal entries for Korman Company for:
(a) the 2014 adjusting entry.
(b) the sale of the Thomas Corp. stock.
(c) the purchase of the Werth Stores' stock.(d) the 2015 adjusting entry.

Korman Company Has the Following Securities in Its Portfolio of Trading