Journal entry to record acquisition of securities available

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Sarah Company acquires common stock of miriam Enterprises for $400,000 on November 1 2009 and designated this investment as available for sale. The fair value of these shares is $435,000 on Dec 31 2009. Sarah sells these shares on Aug 15 2010 for $480,000

Problem 1: Journal entries to record acquisition of securities available for sale on Nov 1 2009

Problem 2: Journal entries to measure securities available for sales on Dec 31 2009

Problem 3: Journal entries to record the sale of securities available for sale on Aug 15 2020

Problem 4: How much is the total income from the purchase and sale of these securities is reported and when is it reported?

Reference no: EM132740168

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