Jack Sparrow Corporation has elected to use the fair value option for one of its notes receivable.
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Jack Sparrow Corporation has elected to use the fair value option for one of its notes receivable. The note, accepted from a customer in exchange for trade accounts receivable, has a carrying value of $16,000.
At year-end, Sparrow estimates the fair value of the note to be $17,500. (1) Determine the unrealized gain or loss on the note. (2) Prepare the entry to record any unrealized gain or loss.
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Related Book For 
Intermediate Accounting IFRS Edition
ISBN: 9781118443965
2nd Edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
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