On January 1, 2012, Valuation Allowance for Available-for-Sale Securities has a zero balance. On December 31, 2012,

Question:

On January 1, 2012, Valuation Allowance for Available-for-Sale Securities has a zero balance. On December 31, 2012, the cost of the available-for-sale securities was $62, 400, and the fair value was $56,900. Prepare the adjusting entry to record the unrealized gain or loss for available-for-sale Securities on December 31, 2012.