What is the reasoning for including unrealized gains and losses on trading securities in income but including unrealized gains and losses on available-for-sale securities in Other Comprehensive Income?
Answer to relevant QuestionsRecognizing a derivative classified as a fair value hedge of a firm commitment as an asset but not recognizing the commitment that the derivative is hedging as a liability is inconsistent.” Do you agree? Why or why not?On October 1, 2013, Biddle Corporation purchases equipment from a supplier in France on account at a purchase price of €40,000 and denominates the transaction in euros. Biddle Corporation must pay the €40,000 on March ...Cayman Company purchased 100% of the common stock of Denver Company on January 2 for $550,000. The common stock of Denver at this date was $200,000, and the retained earnings balance was $350,000. During the year, net income ...Carter, Inc., issued 100,000 shares of $1 par value common stock on December 1, 2013. On that date, the market price of the shares was $18 per share. What journal entry did Carter record to reflect this transaction?Exhibit 15.6 reproduces a portion of the statement of changes in shareholders’ equity for Microtel Corporation for 2013. When Microtel repurchases its common stock, it cancels the outstanding shares. Prepare journal ...
Post your question