{"id":32574,"date":"2022-02-13T17:00:18","date_gmt":"2022-02-13T17:00:18","guid":{"rendered":"https:\/\/assignmenttutors.net\/blog\/e12-8-presented-below-are-two-independent-situations-1-gambino\/"},"modified":"2022-02-13T17:00:18","modified_gmt":"2022-02-13T17:00:18","slug":"e12-8-presented-below-are-two-independent-situations-1-gambino","status":"publish","type":"post","link":"https:\/\/assignmenttutors.net\/blog\/e12-8-presented-below-are-two-independent-situations-1-gambino\/","title":{"rendered":"E12-8 presented below are two independent situations. 1. gambino"},"content":{"rendered":"<div>\n<p><strong><span>E12-8 <\/span><\/strong><span>Presented below are two independent situations.<\/span><\/p>\n<p><span>\u00a0<\/span><\/p>\n<p><span>1. Gambino Cosmetics acquired 10% of the 200,000 shares of common stock of Nevins Fashion at a total cost of $13 per share on March 18, 2015. On June 30, Nevins declared and paid a $60,000 dividend. On December 31, Nevins reported net income of $122,000 for the year. At December 31, the market price of Nevins Fashion was $15 per share. The stock is classi\ufb01ed as available-for-sale.<\/span><\/p>\n<p><span>\u00a0<\/span><\/p>\n<p><span>2. Kanza, Inc., obtained signi\ufb01cant in\ufb02uence over Rogan Corporation by buying 40% of Rogan\u2019s 30,000 outstanding shares of common stock at a total cost of $9 per share on January 1, 2015. On June 15, Rogan declared and paid a cash dividend of $30,000. On December 31, Rogan reported a net income of $80,000 for the year.<\/span><\/p>\n<p><strong><em><span>\u00a0<\/span><\/em><\/strong><\/p>\n<p><strong><em><span>Instructions<\/span><\/em><\/strong><\/p>\n<p>\u00a0<\/p>\n<p><span>Prepare all the necessary journal entries for 2015 for (a) Gambino Cosmetics and (b) Kanza, Inc.<\/span><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>E12-8 Presented below are two independent situations. \u00a0 1. Gambino Cosmetics acquired 10% of the 200,000 shares of common stock of Nevins Fashion at a total cost of $13 per share on March 18, 2015. On June 30, Nevins declared and paid a $60,000 dividend. On December 31, Nevins reported net income of $122,000 for [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16],"tags":[],"class_list":["post-32574","post","type-post","status-publish","format-standard","hentry","category-education"],"_links":{"self":[{"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/posts\/32574","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/comments?post=32574"}],"version-history":[{"count":0,"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/posts\/32574\/revisions"}],"wp:attachment":[{"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/media?parent=32574"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/categories?post=32574"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/assignmenttutors.net\/blog\/wp-json\/wp\/v2\/tags?post=32574"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}