On December 29, Adams Apples purchased 1,000 shares of General Electric common stock for $19,000 and placed

Question:

On December 29, Adams Apples purchased 1,000 shares of General Electric for $19,000 and placed the investment in an active trading account for immediate resale. On December 31, the market value of the stock is $20 per share. What is the appropriate reporting category for this investment, and at what amount will Adams Apples report it in the year-end balance sheet?

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...