Student Name: Dessislava Jeleva
BUS 208 A, B, C or D (circle one)
Fall 2008, AUBG
ACTIVITY - OPTIONAL
(Chapters 9, 10, and 11)
This extra credit activity is due on October 23
, the first 10 minutes of class.
optional, but strongly recommended, to complete this activity.
This will be your only
opportunity during the semester to earn extra credit points.
Late work will not be
accepted. 60 points maximum. Will count as 3% maximum toward your semester
Part I. Financial instruments. (15 points)
On January 31, 2008, Cyprus Corporation purchased the following shares of
voting common stock as long-term investments in available-for-sale securities.
There is no significant influence on the part of Cyprus over Orange and Kiwi, nor
a parent-subsidiaries relationship (control). The accounting period ends December
December 31, 2008
December 31, 2009
All of the Kiwi Corporation stock was subsequently sold by Cyprus for $13,500
on January 12, 2010. Give the required journal entries at the following dates:
January 31, 2008:
Long-term Investments in Securities
Available for Sale
Cyprus Corporation purchased
some shares of voting common
stock in Orange Corp. and in
Kiwi Corp. as long-term
investments in available-for-
December 31, 2008: