The following accounts appear in the ledger of Samson Inc. Samson's shares trade on the Toronto and New York stock exchanges and so the company uses IFRS. Samson has chosen to account for shares held in Anderson Corp. as FV-OCI and to reclassify out of OCI and directly to retained earnings any investment holding gains that are realized. The investment in Anderson Corp. is not strategic and is classified as a long-term investment. It is the only FV-OCI investment held by Samson. Samson chooses to classify dividends received as operating cash flows.

Instructions
(a) Prepare a partial comparative statement of financial position for Samson Inc. 2017.
(b) Prepare an income statement, a statement of comprehensive income, and a other comprehensive income for the year ended December 31, 2017. Ignore at the fiscal year end of December 31, statement of changes in accumulated any income tax effects.
(c) Prepare the journal entries dated June 30, August 15, and November 3, 2017. Provide explanations of the entries.
(d) Using the direct and indirect methods, prepare a table that contrasts the presentation of all transactions recorded in the ledger accounts provided on Samson's statement of cash flows. Be specific about the classification within the statement for each item that is reported. What other choices could Samson have used in the classification of cash flows?
(e) How would your answer to parts (b) and (d) above change if the investments were accounted for using the fair value through net income model?
(f) Under what circumstances would Samson not be allowed to use the fair value through other comprehensive income model?

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FV-OCI Investments Purchase of 40,000 shares Fair value adjustment of 40,000 shares Fair value adjustment of 3,000 shares Sale of 3,000 shares Purchase of 2,000 shares Fair value adjustment of 39,000 shares Accumulated Other Comprehensive Income Closing entry Closing entry Dividend Revenue Dividends from Anderson Corp. Bal $893,500 883,400 887,750 817,145 852,625 872,245 Dr. Cr Dec. 1, 2016 Dec. 31, 2016 Aug. 15, 2017 Aug. 15, 2017 Nov. 3, 2017 Dec. 31, 2017 $893,500 4,350 35,480 $10,100 70,605 19,620 Dr Bal Dec. 31, 2016 Dec. 31, 2017 $10,100 (10,278) $ 10,100 20,378 Cr $35,700 Cr 3,592 Bal $(35,700) Bal Dr. June 30, 2017 Retained Earnings Aug. 15, 2017 Reclassification adjustment-3,000 shares $ (3,592) Bal $10,100 Unrealized Gain or Loss-OCI Dr. 10,100 Dec. 31, 2016 Dec. 31, 2016 Aug. 15, 2017 Aug. 15, 2017 Dec. 31, 2017 Dec. 31, 2017 Fair value adjustment of 40,000 shares Closing entry Fair value adjustment of 3,000 shares Reclassification adjustment-3,000 shares Fair value adjustment of 39,000 shares Closing entry $10,100 4,350 (4,350) (758) 3,592 19,620 (20,378) 20,378