Missing Statement Items, Available$-$for$-$Sale Securities Missing Statement Items, Available$-$for$-$Sale Securities

follows:

There were no dividends.

Determine the missing items. If required, use the minus sign to indicate a net or operating loss, unrealized losses, or a credit balance in the valuation allowance account.

Highland Industries Inc.

Selected Income Statement Items

For the Years Ended December $31,$ Year $2$ and Year $3$

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Operating Income $-$ Year $2$: Calculate item $($Net Income $($Loss$)-$ Year $2)$ first. Then subtract item $($Net Income $($Loss$)-$ Year $2)$ minus the Year $2$ gain$/$loss from sale of investments.

Net Income $($Loss$)-$ Year $2$: Subtract Year $1$ retained earnings from Year $2$ retained earnings.

Operating Income $-$ Year $3$: Net loss minus the loss. Remember when you subtract a negative number the resulting effect is to add the amount.

Highland Industries Inc.

Selected Balance Sheet Items

December $31,$ Year $1,$ Year $2,$ and Year $3$

Highland Industries Inc. makes investments in available$-$for$-$sale securities$.$ Selected income statement items for the years ended December $31,$ Year $2$ and Year $3,$ plus selected items from comparative balance sheets, are as follows:

There were no dividends.

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Determine the missing items. If required, use the minus sign to indicate a net or operating loss, unrealized losses, or a credit balance in the valuation allowance account.

Highland Industries Inc.

Selected Income Statement Items

For the Years Ended December $31,$ Year $2$ and Year $3$

Year $2$ Year $3$

Operating Income $($Loss$)$ $fill in the blank cc$753$c$04802$ffad$\_1$ $fill in the blank cc$753$c$04802$ffad$\_2$

Gain $($Loss$)$ from Sale of Investments $7,500(12,000)$

Net Income $($Loss$)$ $fill in the blank cc$753$c$04802$ffad$\_3$ $$(21,000)$

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Highland Industries Inc.

Selected Balance Sheet Items

December $31,$ Year $1,$ Year $2,$ and Year $3$

Dec. $31,$ Year $1$ Dec. $31,$ Year $2$ Dec. $31,$ Year $3$

Assets

Available$-$for$-$Sale Investments, at Cost $$90,000$ $$86,000$ $$102,000$

Valuation Allowance for Available$-$for$-$Sale Investments $12,000(11,000)$ fill in the blank $247$e$44$faefdfff$7\_1$

Available$-$for$-$Sale Investments, at Fair Value fill in the blank $247$e$44$faefdfff$7\_2$ fill in the blank $247$e$44$faefdfff$7\_3$ fill in the blank $247$e$44$faefdfff$7\_4$

Stockholders' Equity

Unrealized Gain $($Loss$)$ on Available$-$for$-$Sale Investments fill in the blank $247$e$44$faefdfff$7\_5$ fill in the blank $247$e$44$faefdfff$7\_6(16,400)$

Retained Earnings $$175,400$ $$220,000$ $fill in the blank $247$e$44$faefdfff$7\_7$