Pompey Inc. carries the following marketable equity securities on its books at December 31, 2019 and 2020. All securities were purchased during 2019. Trading Securities: Cost Fair Value 12/31/19 12/31/20 P Company R Company T Company 500,000 260,000 400,000 260,000 400,000 400,000 700,000 600,000 500,000 Total 1,460,000 1,260,000 1,300,000 Financial asset @ FVOCI: Cost Fair Value 12/31/19 12/31/20 3,600,000 3,600,000 1,200,000 1,400,000 4,800,000 5,000,000 4,100,000 C Company I Company 1,000,000 Total 5,100,000 The net amount to be recognized in 2020 comprehensive income is O P200,000 gain P100,000 loss

Pompey Inc. carries the following marketable equity securities on its books at December 31, 2019 and 2020. All securities were purchased during 2019. Trading Securities: Cost Fair Value 12/31/19 12/31/20 P Company R Company T Company 500,000 260,000 400,000 260,000 400,000 400,000 700,000 600,000 500,000 Total 1,460,000 1,260,000 1,300,000 Financial asset @ FVOCI: Cost Fair Value 12/31/19 12/31/20 3,600,000 3,600,000 1,200,000 1,400,000 4,800,000 5,000,000 4,100,000 C Company I Company 1,000,000 Total 5,100,000 The net amount to be recognized in 2020 comprehensive income is O P200,000 gain P100,000 loss

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 12RE: Refer to the information in RE13-11. Assume that on December 31, 2019, the investment in Cornett...

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Refer to the information in RE13-5. Assume that on December 31, 2019, the investment in Smith Corporation bonds has a market value of 12,500. Prepare the year-end journal entry to record the unrealized gain or loss.
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