On January 1, Valuation Allowance for Trading Investments had a zero balance. On December 31, the cost of the trading securities portfolio was $260,000, and the fair value was $214,000. Prepare the December 31 adjusting journal entry to record the unrealized gain or loss on trading investments.

Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter13: Investments And Long-term Receivables
Section: Chapter Questions
Problem 10RE: On September 30, Franz Corporation notices a decline in value of its investment in held-to-maturity...
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On January 1, Valuation Allowance for Trading Investments had a zero balance. On December 31, the cost of the trading securities portfolio was $260,000, and the fair value was $214,000. Prepare the December 31 adjusting journal entry to record the unrealized gain or loss on trading investments.

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