Kramer Corporation Had the Following Long-Term Investment Transactions Prepare the Journal Entries Kramer Corporation Should Record for These

question 67

Essay

Kramer Corporation had the following long-term investment transactions.
$$\begin{array} { | l | l | } \hline \text { Jarn. } 2 & \begin{array} { l } \text { Purchased } 5,000 \text { shares of Optic, Inc. For } \$ 42 \text { per share plus } \$ 7,000 \text { in fees and } \\\text { corrunission. These shares represent a } 35 \% \text { ownership of Optic. }\end{array} \\\hline \text { Oct. } 15 & \text { Received Optic, Inc. cash dividend of } \$ 2 \text { per share. } \\\hline \text { Dec. } 31 & \text { Optic reported a net loss of } \$ 66,000 \text { for the year. } \\\hline\end{array}$$
Prepare the journal entries Kramer Corporation should record for these transactions and events.

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Definitions:

Sadness

An emotion characterized by feelings of disappointment, loss, or helplessness, often viewed as a more temporary and milder form of distress compared to depression.

Triple-masked

A study design where information is withheld from participants, experimenters, and evaluators to prevent bias; triple-blind is a more common term.

Evaluating

The process of assessing or examining something to determine its value, quality, importance, size, or other measurable characteristics.

Mood

A temporary state of mind or feeling that influences an individual's emotional state.