Exercise 17-23 Warning Don\'t show me this message again for the assignment Ok C
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Exercise 17-23
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Prepare the journal entry to record the purchase of the call option on January 2, 2017. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry
Exercise 17-23
On January 2, 2017, Coronado Company purchases a call option for $330 on Merchant common stock. The call option gives Coronado the option to buy 950 shares of Merchant at a strike price of $48 per share. The market price of a Merchant share is $48 on January 2, 2017 (the intrinsic value is therefore $0). On March 31, 2017, the market price for Merchant stock is $51 per share, and the time value of the option is $190.Warning
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Your answer is partially correct. Try again.Prepare the journal entry to record the purchase of the call option on January 2, 2017. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry
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1) The journal entry to record the purchase of the call option on January 2, 2017:
General Journal Debit Credit Call option $330 Cash $330Related Questions
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