Elite Services, Inc. pays $1,350,000 to acquire 38% of voting stock of Grey Investments, Inc. on March 5, 2017. Which of the following is the correct journal entry for the transaction?

A)
Long-term Investments-Grey Investments, Inc. 1,350,000
Cash 1,350,000

B)
Long-term Investments-Available-for-Sale 1,350,000
Cash 1,350,000

C)
Cash 1,350,000
Long-term Investments-Available-for-Sale 1,350,000

D)
Cash 1,350,000
Long-term Investments-Grey Investments, Inc. 1,350,000

A

Business

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