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    i_r_rockers@live.com's Avatar
    [email protected] Posts: 1, Reputation: 1
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    #1

    Feb 25, 2010, 10:47 PM
    What happens if the same company purchases shares?
    I require a journal entry. The question is: You received 10,000 shares in X ltd that are trading in the market for $3 per shares, as a GIFT from your regular client.
    morgaine300's Avatar
    morgaine300 Posts: 6,561, Reputation: 276
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    #2

    Feb 26, 2010, 01:05 AM

    Regardless of it being a gift, the shares are still an investment and therefore still go into an investment account as an asset.

    Then you credit "Bribe Income." :p

    Um... actually, I'd be curious to know why a client would be giving this as a gift, but if this is unusual it can just be charged off to Miscellaneous Income. But I am answering that from a real-life, small company point of view. Since that looks like possibly homework, it might make a different what topic you are studying and therefore how that question would fit in.
    morgaine300's Avatar
    morgaine300 Posts: 6,561, Reputation: 276
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    #3

    Feb 26, 2010, 01:08 AM

    Oh wait... hmm, basis of zero?
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