Data related to available-for sale securities for Aetna Corporation for the Year 2016 isprovided below:Mark-to-market value of available-for-sale securities, EndingAmortized cost of available-for-sale securities, BeginningPurchases of available-for-sale securities during the yearAmortized cost of available-for-sale securities, Ending$8,000$1,200$3,000$1,550Mark-to-marketvalue of available-for-sale securities,Beginning$4,500Additional information:No dividend revenue or interest revenue earned or received during theyear.No securities were sold, and no securities were matured during the year.What would be the unrealized gain or loss for the year 2016?a. $500 Unrealized gainb. $1,300 Unrealized lossc. $2,150 Unrealized gaind. $1,800 Unrealized loss

Given: To calculate the unrealized gain or loss of the year 2016 as,

Answered: e securities, Beginning arities during…

Business

Accounting

e securities, Beginning arities during the year e securities, Ending lable-for-sale securities,

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

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Data related to available-for sale securities for Aetna Corporation for the Year 2016 is
provided below:
Mark-to-market value of available-for-sale securities, Ending
Amortized cost of available-for-sale securities, Beginning
Purchases of available-for-sale securities during the year
Amortized cost of available-for-sale securities, Ending
$8,000
$1,200
$3,000
$1,550
Mark-to-market
value of available-for-sale securities,
Beginning
$4,500
Additional information:
No dividend revenue or interest revenue earned or received during the
year.
No securities were sold, and no securities were matured during the year.
What would be the unrealized gain or loss for the year 2016?
a. $500 Unrealized gain
b. $1,300 Unrealized loss
c. $2,150 Unrealized gain
d. $1,800 Unrealized loss

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