On January 1, 2014, Valuation Allowance for Trading Investments had a zero balance. On December 31, 2014,

Question:

On January 1, 2014, Valuation Allowance for Trading Investments had a zero balance.

On December 31, 2014, the cost of the trading securities portfolio was $41,500, and the fair value was $46,300. Prepare the December 31, 2014, adjusting journal entry to record the unrealized gain or loss on trading investments.

Portfolio
A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds. A portfolio can also consist of non-publicly...