Cost method-journalize the entry for the purchase of stock

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Reference no: EM131219234

On February 17, Washburn Corporation acquired 2,800 shares of the 100,000 outstanding shares of Dan Co. common stock at $41.80 plus commission charges of $560. On July 11, a cash dividend of $0.65 per share was received. On December 4, 900 shares were sold at $50, less commission charges of $108. In your computations, round per share amounts to two decimal places. When required, round final answers to the nearest dollar.

a. Using the cost method, journalize the entry for the purchase of stock.

b. Using the cost method, journalize the entry for the receipt of dividends.

c. Using the cost method, journalize the entry for the sale of 900 shares.

Reference no: EM131219234

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