Questions from Financial Accounting

Q: Selected transactions completed by ATV Discount Corporation during the current fiscal year

Selected transactions completed by ATV Discount Corporation during the current fiscal year are as follows: Jan. 5. Split the common stock 4 for 1 and reduced the par from $20 to $5 per share. After th...

Q: Storm, Inc. purchased the following available-for-sale

Storm, Inc. purchased the following available-for-sale securities during Year 1, its first year of operations: The market price per share for the available-for-sale security portfolio on December 31...

Q: During Year 1, its first year of operations, Galileo Company

During Year 1, its first year of operations, Galileo Company purchased two available-fors-ale investments as follows: Assume that as of December 31, Year 1, the Hawking Inc. stock had a market value...

Q: During Year 2, Copernicus Corporation held a portfolio of available-

During Year 2, Copernicus Corporation held a portfolio of available-for-sale securities having a cost of $185,000. There were no purchases or sales of investments during the year. The market values at...

Q: The market price for Microsoft Corporation closed at $55.48

The market price for Microsoft Corporation closed at $55.48 and $46.45 on December 31, current year, and previous year, respectively. The dividends per share were $1.24 for current year and $1.12 for...

Q: eBay Inc. developed a web-based marketplace at www.

eBay Inc. developed a web-based marketplace at www.ebay.com, in which individuals can buy and sell a variety of items. eBay also acquired PayPal, an online payments system that allows businesses and i...

Q: On May 12, Year 1, Chewco Co. purchased 2

On May 12, Year 1, Chewco Co. purchased 2,000 shares of Jedi Inc. for $112 per share, including the brokerage commission. The Jedi investment was classified as an available-for-sale security. On Decem...

Q: On December 31, Year 1, Valur Co. had the

On December 31, Year 1, Valur Co. had the following available-for-sale investment disclosure within the Current Assets section of the balance sheet: Available-for-sale investments (at cost) …………………………...

Q: Gonzalez Company acquired $200,000 of Walker Co., 6

Gonzalez Company acquired $200,000 of Walker Co., 6% bonds on May 1 at their face amount. Interest is paid semiannually on May 1 and November 1. On November 1, Gonzalez Company sold $70,000 of the bon...

Q: Torres Investments acquired $160,000 of Murphy Corp., 5

Torres Investments acquired $160,000 of Murphy Corp., 5% bonds at their face amount on October 1, Year 1. The bonds pay interest on October 1 and April 1. On April 1, Year 2, Torres sold $60,000 of Mu...