Question
Brough, Inc. began business on January 1. At December 31, Brough Inc. had the following investment...
Brough, Inc. began business on January 1. At December 31, Brough Inc. had the following investment portfolios of equity securities:
|
Trading |
Available-For-Sale |
|
|
Aggregate cost |
$175,000 |
$245,000 |
|
Aggregate market value |
200,000 |
235,000 |
A) Unrealized gains and/or losses at December 31 should be recorded with corresponding charges against (label your answer as gain or loss)
Income $
Stockholders' Equity $
B) Prepare the journal entry to record the change in market value of the Trading Securities.
Please show all calculations.
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