Blaine Company had these transactions pertaining to stock investments:
Feb. 1 Purchased 2,000 shares of Horton Company (10%) for $51,000.
June 1 Received cash dividends of $2 per share on Horton stock.
Oct. 1 Sold 1,200 shares of Horton stock for $33,000 less brokerage fees of $600.
The entry to record the sale of the stock would include a
Question 3 options:
debit to Stock Investments for $30,600.
debit to Cash for $32,400.
credit to Gain on Sale of Stock Investments for $1,200.
credit to Gain on Sale of Stock Investments for $1,800.
Mize Company owns 30% interest in the stock of Lyte Corporation. During the year, Lyte pays $20,000 in dividends to Mize, and reports $300,000 in net income. Mize Company's investment in Lyte will increase Mize′s net income by
Question 4 options:
$6,000.
$90,000.
$96,000.
$10,000.