Trans America Trust Co. owns both trading and available-for-sale securities. The following securities were owned on December 31, 2010:

The following transactions occurred during 2011:
(a) Sold 500 shares of West Data, Inc., for $9,500.
(b) Sold 200 shares of Disks, Inc., for $3,000.
c) Transferred all shares of Albert Groceries, Inc., to the available-for-sale portfolio when the total fair value was $12,900.
(d) Transferred the remaining shares of Disks, Inc., to the trading securities portfolio when the market price was $20 per share. These shares were subsequently sold for $18 per share.
At December 31, 2011, market prices for the remaining securities were as follows:
Security Market Price per Share
Albert Groceries, Inc . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $22
West Data, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
Steel Co . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
Dairy Products . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42
Vern Movies, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . 28

Instructions:
Prepare all journal entries necessary to record Trans America Trust Co.'s marketable equity securities transactions and year-end adjustments for 2011. Assume that all declines in fair value aretemporary.

Transcribed Image Text:

Trading Securities: Total Cost Fair Value, Dec. 31, 2010 Market Adjustment $2,500 Dr 9,000 Cr Security Shares Albert Groceries, Inc. West Data, Inc. Steel Co. 600 1,000 450 9,000 27,000 9.900 $45.900 $11,500 18,000 0.215 $39.715 315 Dr Total $6,185 Cr Available-for-Sale Securities: Total Sh Cost Market Adjustment Fair Value, Dec. 31, 2010 $ 90,000 365,000 Security Dairy Products Vern Movies, Inc. . Disks, Inc. . .. 2,000 $86,000 390,000 60,000 $536,000 $ 4,000 Dr 25,000 Cr 20,000 Dr $ 1.000 Cr 15,000 5,000 80,000 Total $535,000