At December 31, 2017, Gregson Inc. has these data on its security investments: Security Cost Fair Value 12/31/17 Trading $ 280,000 $344,000 250,000 Non-trading 274,000 If the non-trading securities are held as long-term investments, which of the following will be recorded to adjust the securities to fair value? O a. Fair Value Adjustment-Trading... 64,000 Unrealized Gain-Income. 64,000 Unrealized Gain or Loss-Equity.. 24,000 Fair Value Adjustment-Non-Trading. 24,000 24,000 Unrealized Gain-Income.. Ob. Unrealized Loss-Income. Securities. Oc. Securities d. Unrealized Gain-Income Unrealized Gain-Income.. ..40,000 40,000 4,000 ..28,000 64.000
At December 31, 2017, Gregson Inc. has these data on its security investments: Security Cost Fair Value 12/31/17 Trading $ 280,000 $344,000 250,000 Non-trading 274,000 If the non-trading securities are held as long-term investments, which of the following will be recorded to adjust the securities to fair value? O a. Fair Value Adjustment-Trading... 64,000 Unrealized Gain-Income. 64,000 Unrealized Gain or Loss-Equity.. 24,000 Fair Value Adjustment-Non-Trading. 24,000 24,000 Unrealized Gain-Income.. Ob. Unrealized Loss-Income. Securities. Oc. Securities d. Unrealized Gain-Income Unrealized Gain-Income.. ..40,000 40,000 4,000 ..28,000 64.000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![Question 30
At December 31, 2017, Gregson Inc. has these data on its security investments:
Security
Cost
Fair Value 12/31/17
Trading
$ 280,000
$344,000
Non-trading
274,000
250,000
If the non-trading securities are held as long-term investments, which of the following will be recorded to adjust the securities to fair value?
Oa. Fair Value Adjustment-Trading..
64,000
Unrealized Gain-Income...
64,000
Unrealized Gain or Loss-Equity......
24,000
Fair Value Adjustment-Non-Trading..
24,000
24,000
Unrealized Gain-Income..
Ob. Unrealized Loss-Income.
Securities...
Oc. Securities
Ⓒd. Unrealized Gain-Income....
Unrealized Gain-Income...
Fair Value Adjustment-Trading..
Fair Value Adjustment-Non-Trading..
Unrealized Gain or Loss-Equity....
40,000
40,000
4,000
28,000
64,000
64,000
24,000
24,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fad02ea59-364c-45e0-aa6f-20a70f8dbe77%2F82911c45-23af-4130-a13b-651103890eac%2Fsjjdffb_processed.png&w=3840&q=75)
Transcribed Image Text:Question 30
At December 31, 2017, Gregson Inc. has these data on its security investments:
Security
Cost
Fair Value 12/31/17
Trading
$ 280,000
$344,000
Non-trading
274,000
250,000
If the non-trading securities are held as long-term investments, which of the following will be recorded to adjust the securities to fair value?
Oa. Fair Value Adjustment-Trading..
64,000
Unrealized Gain-Income...
64,000
Unrealized Gain or Loss-Equity......
24,000
Fair Value Adjustment-Non-Trading..
24,000
24,000
Unrealized Gain-Income..
Ob. Unrealized Loss-Income.
Securities...
Oc. Securities
Ⓒd. Unrealized Gain-Income....
Unrealized Gain-Income...
Fair Value Adjustment-Trading..
Fair Value Adjustment-Non-Trading..
Unrealized Gain or Loss-Equity....
40,000
40,000
4,000
28,000
64,000
64,000
24,000
24,000
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
![Horngren's Cost Accounting: A Managerial Emphasis…](https://www.bartleby.com/isbn_cover_images/9780134475585/9780134475585_smallCoverImage.gif)
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
![Intermediate Accounting](https://www.bartleby.com/isbn_cover_images/9781259722660/9781259722660_smallCoverImage.gif)
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
![Financial and Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781259726705/9781259726705_smallCoverImage.gif)
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education