Use this money to purchase trading securities as a


In June 2012, Hatch Company had no investment securities but had excess cash that would not be needed for nine months. Management decided to use this money to purchase trading securities as a short-term investment. The following transactions relate to the investments:
July 16 Purchased 4,000 shares of Eli Corporation stock. The price paid, including brokerage fees, was $62,400.
Sept. 23 Received a cash dividend of $1.25 per share on the Eli stock.
28 Sold 2,000 shares of Eli stock at $16 per share. Paid a selling commission of $250.
Dec. 31 The market value of Eli's stock was $16.35 per share.
Given these data, prepare the journal entries to account for Hatch's investment in Eli stock.

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Accounting Basics: Use this money to purchase trading securities as a
Reference No:- TGS0793918

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