14. Open Skies purchased a portfolio of available-for-sale securities during the year. The cost and fair value of the portfolio is as follows: Name Eden Rock Blue Creek First Stone Total Number of Shares 100 400 450 Total Cost $3,000 $6,500 $5,400 $14,900 Total Fair Value $4,800 $5,800 $6,750 $17,350 a. Make the journal entry to record the adjustment of available-for-sale security portfolio to fair value on December 31;
14. Open Skies purchased a portfolio of available-for-sale securities during the year. The cost and fair value of the portfolio is as follows: Name Eden Rock Blue Creek First Stone Total Number of Shares 100 400 450 Total Cost $3,000 $6,500 $5,400 $14,900 Total Fair Value $4,800 $5,800 $6,750 $17,350 a. Make the journal entry to record the adjustment of available-for-sale security portfolio to fair value on December 31;
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
![14. Open Skies purchased a portfolio of available-for-sale securities during the year. The
cost and fair value of the portfolio is as follows:
Name
Eden Rock
Blue Creek
First Stone
Total
Number of Shares
100
400
450
Total Cost
$3,000
$6,500
$5,400
$14,900
Total Fair Value
$4,800
$5,800
$6,750
$17,350
a. Make the journal entry to record the adjustment of available-for-sale security
portfolio to fair value on December 31;
b. Where will the information be reported on the financial statements?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F1dade7e7-e6db-4f52-b98a-86042904c11c%2F083ac1ab-89d2-488f-9bb3-d137ce227062%2F9cx7olg_processed.png&w=3840&q=75)
Transcribed Image Text:14. Open Skies purchased a portfolio of available-for-sale securities during the year. The
cost and fair value of the portfolio is as follows:
Name
Eden Rock
Blue Creek
First Stone
Total
Number of Shares
100
400
450
Total Cost
$3,000
$6,500
$5,400
$14,900
Total Fair Value
$4,800
$5,800
$6,750
$17,350
a. Make the journal entry to record the adjustment of available-for-sale security
portfolio to fair value on December 31;
b. Where will the information be reported on the financial statements?
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