On March 1,2018,Rawlins Company invests $25,000 in Ashton Company stock.Ashton pays Rawlins a $800 dividend on September 30,2018.Rawlins sells the Ashton stock on November 30,2018 for $23,500.Assume the investment is categorized as a short-term equity investment and that Rawlins does not have significant influence over Ashton.
Requirements:
1.Journalize the transactions for Rawlins' investment in Ashton's stock.
2.What was the net effect of the investment on Rawlins' net income for the year ended December 31,2018.

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The Answer of On March 1,2018,Rawlins Company invests $25,000 in Ashton Company stock.Ashton pays Rawlins a $800 dividend on September 30,2018.Rawlins sells the Ashton stock on November 30,2018 for $23,500.Assume the investment is categorized as a short-term equity investment and that Rawlins does not have significant influence over Ashton.
Requirements:
1.Journalize the transactions for Rawlins' investment in Ashton's stock.
2.What was the net effect of the investment on Rawlins' net income for the year ended December 31,2018.

On March 1,2018,Rawlins Company Invests $25,000 in Ashton Company Stock