Accounting for equity investments Significant Investments completed the following investment transactions during 2025: Jan. 14 Purchased 500 shares of PharmaCo stock, paying $54 per share. The investment transaction should be recorded as?
1) Debit: Investment in PharmaCo Stock $27,000; Credit: Cash $27,000
2) Debit: Investment in PharmaCo Stock $27,000; Credit: Accounts Payable $27,000
3) Debit: Cash $27,000; Credit: Investment in PharmaCo Stock $27,000
4) Debit: Accounts Payable $27,000; Credit: Investment in PharmaCo Stock $27,000
