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  3. on february 15, paid $160,000 cash to purchase gmi

On February 15, paid $160,000 cash to purchase GMI's 90-day short-term notes at par, which...

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Accounting

  1. On February 15, paid $160,000 cash to purchase GMI's 90-day short-term notes at par, which are dated February 15 and pay 10% interest (classified as held-to-maturity).
  2. On March 22, bought 700 shares of Fran Incorporated common stock at $51 cash per share. Cancun's stock investment results in it having an insignificant influence over Fran.
  3. On May 15, received a check from GMI in payment of the principal and 90 days interest on the notes purchased in part a.
  4. On July 30, paid $100,000 cash to purchase MP Incorporated's 8%, six-month notes at par, dated July 30 (classified as trading securities).
  5. On September 1, received a $1 per share cash dividend on the Fran Incorporated common stock purchased in part b.
  6. On October 8, sold 30 shares of Fran Incorporated common stock for $54 cash per share.
  7. On October 30, received a check from MP Incorporated for three months interest on the notes purchased in part d.

Prepare journal entries to record the above transactions involving both the short-term and long-term investments of Cancun Corporation, all of which occurred during the current year.

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