Ex. 196
At December 31, 2014, the trading securities for Carter Company are as follows:
Security Cost Fair Value
A$25,000$28,000
B 46,000 40,000
$71,000$68,000
Instructions
Prepare the adjusting entry at December 31, 2014, to report the securities at fair value.
Ex. 197
Price Corporation has the following trading securities portfolio of share investments as of December 31, 2014.
Security Cost Fair Value
A$19,000$16,000
B22,00026,000
C 34,000 31,000
$75,000$73,000
On January 22, 2015, Price Corporation sold security C for $30,000.
Instructions
(a)Prepare the adjusting entry for Price Corporation on December 31, 2014, to report the portfolio at fair value.
(b)Indicate the statement of financial position and income statement presentation of the fair value data for Price Corporation at December 31, 2014.
(c)Prepare the journal entry for the 2015 sale.
Ex. 198
The following information is available for Clooney Corporation's non-trading securities at December 31, 2014.
Security Cost Fair Value
X€35,000€33,000
Y 22,000 28,000
€57,000€61,000
Instructions
Prepare the adjusting entry to record the securities at fair value at December 31, 2014.