On January 1,Chapin Corporation purchased,as long-term investments,10 percent of the voting stock of Paxton Corporation for $75,000 and 25 percent of the voting stock of Colb Corporation for $150,000.During the year,Paxton Corporation had earnings of $40,000 and paid dividends of $15,000 on October 15,and Colb Corporation had earnings of $20,000 and paid dividends of $12,000 on November 10.The market value of neither investment declined nor rose during the year.Prepare journal entries without explanations to record this information as appropriate in Chapin Corporation's general journal.

Question

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The Answer of On January 1,Chapin Corporation purchased,as long-term investments,10 percent of the voting stock of Paxton Corporation for $75,000 and 25 percent of the voting stock of Colb Corporation for $150,000.During the year,Paxton Corporation had earnings of $40,000 and paid dividends of $15,000 on October 15,and Colb Corporation had earnings of $20,000 and paid dividends of $12,000 on November 10.The market value of neither investment declined nor rose during the year.Prepare journal entries without explanations to record this information as appropriate in Chapin Corporation's general journal.

On January 1,Chapin Corporation Purchased,as Long-Term Investments,10 Percent of the Voting