The accounting records of Jamaican Importers, Inc., at January 1, 2021, included the following:

Assets:
Investment in IBM common shares ...........$ 1,345,000
Less: Fair value adjustment .............................(145,000)
.........................................................................$ 1,200,000

No changes occurred during 2021 in the investment portfolio.

Required:
Prepare appropriate adjusting entry(s) at December 31, 2021, assuming the fair value of the IBM common shares was
1. $1,175,000
2. $1,275,000
3. $1,375,000