Multiple Choice
On February 12, Addison, Inc. purchased 6,000 shares of Lucas Company at $22 per share plus a $240 brokerage fee. On August 22, Lucas paid a $0.42 dividend per share. On November 10, 4,000 shares of Lucas stock were sold for $28 per share less a $160 brokerage fee. The journal entry for the sale under the fair value method would include a
A) debit to Cash, $111,840
B) credit to Investments, $112,000
C) credit to Loss on Sale, $23,680
D) debit to Cash, $112,000
Correct Answer:
Verified
Correct Answer:
Verified
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