The 8th State Bank prepares interim financial statements and follows an investment strategy of investing in trading securities. At the beginning of the third quarter of 2007, the bank held the following portfolio of trading securities:

During the third quarter of 2007, the bank entered into the following trading securities transactions:
July 2 Received dividends of $1.50 per share on the G Company common stock
July 14 Sold 600 shares of O Company common stock for $20 per share
Aug. 9 Purchased 300 shares of P Company common stock for $36 per share
Aug. 24 Sold 100 shares of G Company common stock for $30 per share
Sept. 17 Purchased 500 shares of U Company common stock for $22 per share
On September 30, 2007 the P Company common stock had a quoted market price of $36.50 per share and the U Company common stock had a quoted market price of $21 per share.

Required
1. Prepare journal entries to record the preceding information.
2. Show what the bank reports on its third-quarter 2007 income statement for these trading securities.
3. Show how the bank reports these trading securities on its September 30, 2007 balancesheet.

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June 30, 2007 Fair Value Security 100 shares of G Company common stock 2,900 2,800 600 shares of O Company common stock 12 Cost 12,600 $15,400 Totals $14,900