91.Held-to-maturity securities
a.are reported at fair market value
b.include stocks as well as bonds
c.may be reported as current or noncurrent assets
d.all of these
92.Yankton Company began the year without an investment portfolio. During the year, they purchased investmentsclassified as trading securities at a cost of $13,000. At the end of the year, the market value of the securities was$11,000. The Yankton Company's financial statements for the current year should show
a.a loss of $2,000 on the income statement and net trading securities of $13,000 on the balance sheet
b.no loss on the income statement and net trading securities of $13,000 on the balance sheet
c.no loss on the income statement, net trading securities of $11,000, and an unrealized loss of $2,000 as astockholders’ equity adjustment on the balance sheet
d.a loss of $2,000 on the income statement and temporary investments of $11,000 on the balance sheet
93.Yankton Company began the year without an investment portfolio. During the year, it purchased investmentsclassified as available-for-sale securities at a cost of $13,000. At the end of the year, the market value of thesecurities was $11,000. The Yankton Company's financial statements for the current year should show
a.a loss of $2,000 on the income statement and available-for-sale investments of $13,000 on the balance sheet
b.no loss on the income statement and available-for-sale investments of $13,000 on the balance sheet
c.no loss on the income statement, available-for-sale investments netting to of $11,000, and an unrealized lossof $2,000 as a stockholders’ equity adjustment on the balance sheet
d.a loss of $2,000 on the income statement and temporary investments of $11,000 on the balance sheet
94.The price that would be received to sell an asset or pay off a liability is
a.the fair value
b.the market value
c.the investing value
d.the historical value
95.The account Unrealized Gain (Loss) on Available-for-Sale Investments should be included on the
a.income statement as other revenue (expense)
b.balance sheet as an adjustment to the asset account
c.balance sheet as an adjustment to stockholders' equity
d.statement of retained earnings
96.The account Unrealized Gain (Loss) on Trading Investments should be included in the
a.income statement as other revenue (expense)
b.balance sheet as an adjustment to the asset account
c.balance sheet as an adjustment to stockholders' equity
d.statement of retained earnings
97.The Valuation Allowance for Trading Investments account is found on the
a.income statement as other revenue (expense)
b.balance sheet as an adjustment to the asset account
c.balance sheet as an adjustment to stockholders' equity
d.statement of retained earnings
98.Held-to-maturity securities
a.are reported at their fair market value on the balance sheet date
b.include both stocks and bonds
c.are primarily purchased to earn interest revenue
d.all are correct
99.On January 1, Butte Company’s Valuation Allowance for Trading Investments account has a debit balance of$23,200. On December 31, the cost of the trading securities portfolio was $80,000. The fair value was$98,000. Which of the following would Butte report on the income statement for the current year?
a.an unrealized loss on trading investments, $5,200
b.an unrealized gain on trading investments, $5,200
c.an unrealized gain on trading investments, $18,000
d.an unrealized loss on trading investments, $18,000
100.Trading securities are
a.reported at fair value on the balance sheet and as unrealized gains or losses on the income statement
b.not reported on the balance sheet
c.reported as unrealized gains or losses on the income statement
d.reported at fair value in the balance sheet