[skyjump117]

1-purchased 500 shares of 100,000 outstanding $10 par common shares of denver corp for $51,00.
2-purchased 2,000 shares of the 10,00 no par common shres of reilly co for 45,600. The investment was accounted for by the equity method.
3-received a cas dividend of $1 per share on the dever coor stock acquired in (a).
4-received a cash dividend of $2 per share on the reilly co stock acquied in (b)
5-sold 100 shares of the denver corp sock acquired in (a) for $2100
6-recorded the appropriate shares of reilly's co. net income of $50,000. The stock was acquired in (b)

[ROLCAM]

You do them!
We shall then have a look at your work and
Comment on it.

[CHURCHMOUSE]

Record a stock dividend when treasury stock is involved.

[ROLCAM]

DEBIT Stock Dividend Account XXXX
CREDIT Bank Account XXXX

Being Stock Dividend Received.