Stone Company had the following transactions pertaining to short-term investments in equity securities.
Jan. 1 Purchased 1,500 shares of Quayle Company stock for $9,150 cash plus brokerage fees of $300.
June 1 Received cash dividends of $.50 per share on Quayle Company stock.
Sept. 15 Sold 400 shares of Quayle Company stock for $2,500 less brokerage fees of $100.
Dec. 1 Received cash dividends of $.50 per share on Quayle Company stock.
Instructions
(a) Journalize the transactions.
(b) Indicate the income statement effects of the transactions.

Question

Quizplus · Accepted Answer

The Answer of Stone Company had the following transactions pertaining to short-term investments in equity securities.
Jan. 1 Purchased 1,500 shares of Quayle Company stock for $9,150 cash plus brokerage fees of $300.
June 1 Received cash dividends of $.50 per share on Quayle Company stock.
Sept. 15 Sold 400 shares of Quayle Company stock for $2,500 less brokerage fees of $100.
Dec. 1 Received cash dividends of $.50 per share on Quayle Company stock.
Instructions
(a) Journalize the transactions.
(b) Indicate the income statement effects of the transactions.

Stone Company Had the Following Transactions Pertaining to Short-Term Investments