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.

Understand the attributes of effective goals and the importance of goal alignment in organizational performance.

Identify and describe major planning tools and techniques used by managers.

Compare and contrast strategic and tactical plans.

Explain how participation and involvement contribute to effective management planning.

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Definitions:

Unemployed

Individuals who are capable of working and willing to work but cannot find employment.

Inflation

The speed at which prices for various goods and services climb, reducing the buying capacity gradually.

Decades

Periods of ten years, often used to discuss and analyze historical trends and changes over time.

Misery Index

An economic indicator created by adding the unemployment rate to the inflation rate, intending to measure the health of a country's economy.