Oriole Inc. owns shares of Waterway Corporation stock. At December 31, 2025, the securities were carried in Oriole's accounting records at their cost of $997,000, which equals their fair value. On September 21, 2026, when the fair value of the securities was $1,401,000, Oriole declared a property dividend whereby the Waterway securities are to be distributed on October 23, 2026, to stockholders of record on October 8, 2026. Prepare all journal entries necessary on those three dates. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Record entries in the order displayed in the problem statement.) Date Account Titles and Explanation Sep. 21 Sep. 21 (To record gain or loss) Oct. 8 (To record property dividend) Oct. 23 Debit Credit

Oriole Inc. owns shares of Waterway Corporation stock. At December 31, 2025, the securities were carried in Oriole's accounting records at their cost of $997,000, which equals their fair value. On September 21, 2026, when the fair value of the securities was $1,401,000, Oriole declared a property dividend whereby the Waterway securities are to be distributed on October 23, 2026, to stockholders of record on October 8, 2026. Prepare all journal entries necessary on those three dates. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Record entries in the order displayed in the problem statement.) Date Account Titles and Explanation Sep. 21 Sep. 21 (To record gain or loss) Oct. 8 (To record property dividend) Oct. 23 Debit Credit

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter20: Corporations: Distributions In Complete Liquidation And An Overview Of Reorganizations

Section: Chapter Questions

Problem 15CE

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