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Accounting Assignment | Custom Assignment Help

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August 29th, 2019

On December 31, 20X5, Gretta Inc., which reports its financial results in accordance with IFRS, had an investment at FVOCI-elect in Gidget Corp. Gretta initially paid $13,000 for the investment. Its fair value at December 31, 20X5, was $14,000. On February 15, 20X6, Gretta sold its investment in Gidget for $14,600. Gretta’s policy is to transfer previously unrealized holding gains and losses to retained earnings when the investment is derecognized.

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What is the journal entry to record the sale of the investment in Gidget?

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