a general ledger control account.
another name for Debt Investments.
a subsidiary ledger account.
a long-term liability account.
6Multiple Choice Question 59
Tan Company had these transactions pertaining to stock investments:
Feb. 1 Purchased 3,000 shares of Norton Company (10%) for $48,800
cash plus brokerage fees of $1,400.
June 1 Received cash dividends of $2 per share on Norton stock.
Oct. 1 Sold 1,200 shares of Norton stock for $24,000 less brokerage
fe es of $600.
The entry to record the purchase of the Norton stock would include a
credit to Cash for $48,800.
debit to Stock Investments for $48,800.
debit to Stock Investments for $50,200.
debit to Investment Expense for $1,400.
7Multiple Choice Question 94
Mission Inc. earns $450,000 and pays cash dividends of $150,000
during 2013. Cox Corporation owns 70,000 of the 210,000 outstanding
shares of Mission.