During 2014 aerogem received interest from mirkwood and the


During January 2014, Aerogem purchased the following securities

Security Classification # of Shares Total Cost

Gimli Corporation stock Trading 500 $9,000

Legolas International Inc stock Available for sale 1,000 $22,000

Glorfindel Enterprises stock Available for sale 2,500 $42,500

Mirkwood Co bonds Held to maturity $24,000

U.S. Treasury bonds Trading $11,000

During 2014, Aerogem received interest from Mirkwood and the U.S. Treasury totaling $3,630. Dividends received on the stock held amounted to $1,760. During November 2014, Aerogem sold 200 shares of the Gimli stock at $17 per share and 250 shares of the Glorfindel stock at $19 per share.

Give the journal entries required by Aerogem to record the (1) purchase of the debt and equity securities; (2) receipt of interest and dividends during 2014, and (3) sale of the equity securities during November. Gains and Losses s/b recorded in seperate accounts.

Request for Solution File

Ask an Expert for Answer!!
Financial Management: During 2014 aerogem received interest from mirkwood and the
Reference No:- TGS01367566

Expected delivery within 24 Hours