Question: On January 1, 2010, Valuation Allowance for Trading Investments has a credit balance of $8,700. On December 31, 2010, the cost of the trading securities

On January 1, 2010, Valuation Allowance for Trading Investments has a credit balance of $8,700. On December 31, 2010, the cost of the trading securities was $52,400 and the fair value was $53,000. Prepare the December 31, 2010, adjusting journal entry to record the unrealized gain or loss on trading investments.

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