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Unformatted text preview: .......................................... $ 3,000,000.00 $ 3,000,000.00 (8,000,000 shares x 30% x $1.25  to record dividends received) Dec. 31 Investments ................................................................................. Investment Revenue .............................................................. $12,000,000.00 $12,000,000.00 (40,000,000 shares x 30%  to record percentage share of net income) NOTE: Since Florists International owns more than 20% of the outstanding stock of Nursery Supply Company, no mark-to-market adjustment is recorded. Investments (INVEST) – Practice Problem Solutions Pg 1 3. 2005 July Oct. 1 Investments ................................................................................ $7,700.00 Cash....................................................................................... $7,700.00 31 Cash............................................................................................. $ 700.00 Dividend Revenue ................................................................. $ 700.00 Dec. 31 Unrealized Loss .......................................................................... $1,050.00 Investments ........................................................................... $1,050.00 NOTE: The unrealized loss is equal to $3 per share ($22 - $19) multiplied by 350 shares. 2006 Feb. 20 Cash (175 shares x $26) .............................................................. $4,550.00 Gain on Sale of Investments .......................................
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