At December 31, 2019, the trading debt securities for Gwynn, Inc. are as follows. Security Cost Fair

Question:

At December 31, 2019, the trading debt securities for Gwynn, Inc. are as follows.
Security Cost Fair Value
A......................$18,100.............$16,000
B........................12,500...............14,800
C........................23,000...............18,000
Total..................$53,600.............$48,800
Instructions
(a) Prepare the adjusting entry at December 31, 2019, to report the securities at fair value.
(b) Show the and income statement presentation at December 31, 2019, after adjustment to fair value.
Balance Sheet
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...