At the end of the first year of operations, the total cost of the trading securities portfolio is ₩120,000,000. Total fair value is ₩115,000,000. The financial statements should show:

a. a reduction of an asset of ₩5,000,000 and a realized loss of ₩5,000,000.

b. a reduction of an asset of ₩5,000,000 and an unrealized loss of ₩5,000,000 in the equity section.

c. a reduction of an asset of ₩5,000,000 in the current assets section and an unrealized loss of ₩5,000,000 in “Other income and expense.”

d. a reduction of an asset of ₩5,000,000 in the current assets section and a realized loss of ₩5,000,000 in “Other income and expense.”