At December 31, 2014, the available-for-sale equity portfolio for Zorro Foods Corp. is as follows. December 31,
Question:
At December 31, 2014, the available-for-sale equity portfolio for Zorro Foods Corp. is as follows.
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December 31, 2013, securities fair value adjustment balance—Dr. 5,400
On January 20, 2015, Zorro sold Apple for $31,100. The sale proceeds are net of brokerage fees.
Instructions
(a) Prepare the adjusting entry at December 31, 2014, to report the portfolio at fair value.
(b) Show the balance sheet presentation of the investment related accounts at December 31, 2014. (Ignore notes presentation.)
(c) Prepare the journal entry for the 2015 sale ofApple.
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial... 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...
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a The portfolio should be reported at the fair value of 273500 Since the cost of the portfolio is 26...View the full answer
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Related Book For 
Intermediate Accounting
ISBN: 978-1118147290
15th edition
Authors: Donald E. Kieso, Jerry J. Weygandt, and Terry D. Warfield
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