income statement
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Q: What is The Net unrealized Gain (Loss) each year? Is the Net unrealized Gain (Loss) taxable?
A: Formula: Unrealized gain ( Loss ) = Fair value of securities - amortized cost. Deduction of…
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A: Unrealized income is an income that has been earned but not received as the asset through which it…
Q: 3, vars orporation sold its investment in marketable equity securities costing on January 2, Year 1,…
A: Marketable Securities -Financial products that are easily bought or sold on the market are known as…
Q: unrealized gain or loss?
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A: Investment in shares is the investment which is done by the investor to get gain by the increase in…
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A: Unrealized gain An unrealized gain is a rise in the value of an asset that has yet to be sold for…
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A: “Since you have posted a question with many sub-parts, we will solve three sub-parts for you. To get…
Q: Following is a list of investments owned by Martinez Ltd., as of the company’s year-end, December…
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Q: Gable Inc. provided you with the following information for the year ended December 31, 2021: Sales…
A: An income statement is a financial report that indicates the revenue and expenses of a business. It…
Q: For the year ended December 31, 2019, WQA company reported opening retained earnings of P1,850,000…
A: The reserve balance at December 31. 2020 = P35, 000
Q: During 2019, XYZ Co. purchased marketable equity securities to be measured at fair value thru other…
A: Fair value through other comprehensive income represents the unrealized profit or loss from the…
Q: On October 2020, X Corporation purchased a financial instrument that qualifies as a derivative and…
A: Other comprehensive income is the statement which is prepared to record the gain or losses, revenue…
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A: Unrealized gain or loss on available-for-sale securities is calculated as the difference between the…
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A: Given that: Acquisition costs = P3,600,000 Direct costs incurred = P630,000 At the end, Fair value…
Q: ment ABC Co. had the following transactions pertaining its trading investments: Feb. 1, 2021…
A: Bonds: Bonds are the trading securities which are acquired by investors for having fixed interest…
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A: If stocks are held for more than one year and then are sold and a profit is made that is called the…
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A: As per IFRS 9, Financial instruments, those investments for which fair value through profit or loss…
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A: A share certificate is an example of an equity instrument, which acts as a legally enforceable…
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A: Unrealized profit or losses refer to profits or losses that have not occurred in actual but has…
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A: The objective of the question is to understand the implications of a debit balance in the Fair Value…
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A:
Q: ndy company invests $300,000 in equity securities on November 30, 2019, and classifies them as…
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A: Step 1: Introduction to statement of comprehensive incomeThe statement of income is produced at year…
Q: What is the effect of the errors on the working capital of 2020? Put a negative sign if the answer…
A: The effect on working capital simply means, the net effect on current assets and current liabilities…
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A: An investment in debt securities may be classified as either trading securities, available for sale…
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Q: On January 1, 2017, Tenants Company acquired as a long term investment for P5,600,000 a 40% interest…
A: Where an entity holds 20% or more of the voting power (directly or through subsidiaries) on an…
Q: Can you help me to calculate adjusted net income, adjusted net income if FV of security B were…
A: FVOCI is the abbreviation of Fair Value through Other Comprehensive Income, when adjustments are…
Q: Global Commerce Corporation purchased trading debt investments for $222,000 on December 31, 2024.…
A: Journal entry is the record which is prepared by the entity to maintain a report of daily business…
Q: In March of 2019, Boyet Corporation purchased nontrading equity investments which are irrevocably…
A: Unrealized loss is the loss for the asset or investment which is computed by deducting the cost…
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A: The accounting entry have been made: General Journal Debit Credit Cash $1,38,000…
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- Stanley Dodge Corporation bought several marketable securities during 2020. At December 31, 2020, the company possessed investments in bonds listed below. All are considered securities available-for-sale. At January 1, 2020, the Corporation's Fair Value Adjustment Account had a credit balance of $150,000. Cost Fair Value Unrealized Holding Gain(Loss) Short Term: Ashkent, Inc $1,100,000 $1,300,000 Imagen Pharma 1,200,000 1,150,000 Total Long term: Erdinger Foods $2,000,000 $1,980,000 Ashanti Gold 1,500,000 1,750,000 Total Prepare the adjusting entries for December 31, 2020. Show how you arrived at the balance needed for the Fair Value Adjustment on 12/31/2020.Splish Inc. provided the following information for the year 2020. $ Retained earnings, January 1, 2020 Administrative expenses Selling expenses Sales revenue Cash dividends declared Cost of goods sold Loss on discontinued operations Rent revenue Unrealized holding gain on available-for-sale debt securities Income tax applicable to continuing operations Income tax benefit applicable to loss on discontinued operations Income tax applicable to unrealized holding gain on available-for-sale debt securities 756,000 302,400 378,000 2,394,000 100,800 1.071,000 138,600 129,402 21,420 235,620 76,230 2,520 SPLISH, INC. Income Statement For the Year Ended December 31, 2020 Revenues Sales Revenue $ 2394000 Rent Revenue 100800 Total Revenues 2494800 Expenses Cost of Goods Sold 1071000 Selling Expenses 378000 Administrative Expenses 302400 Total Expenses Income From Continuing Operations Before Income Tax Income From Continuing Operations Less : Applicable Income Tax Reduction Income From Continuing…On January 1, 2020, the Deluxe Corporation purchased equity securities to be held for trading purposes for P2,000,000. The company also paid commission, taxes and other transaction costs amounting to P50,000. The securities had fair values at December 31, 2020 and 2021, respectively; P1,750,000 and P2,100,000. No securities were sold during 2021. What amount of unrealized gain or loss should be reported in the 2021 profit or loss section of the statement of comprehensive income?
- Elliott has the following capital gain and loss transactions for 2020.On January 1, 2024, Everglade Company purchased the following debt securities and properly accounted for them as securities available-for-sale: Security Cost Fair Value, 12/31/2024 ABC $ 58,000 $ 74,800 DEF 91,800 83,000 XYZ 34,000 39,800 All declines in value are considered temporary. What amount should the Everglade Company report relative to these securities in its 2024 statement of other comprehensive income? Multiple Choice $0. $22,600 unrealized holding gain. $13,800 net unrealized holding gain. $8,800 unrealized holding loss.On its December 31, 2021, statement of financial position, Apollo Co. reported its investment in equity securities at fair value through other comprehensive income, which had cost P600,000, at fair value of P550,000. At December 31, 2022, the fair value of the securities was P585,000. What should Apollo report on its 2022 income statement as a result of the increase in fair value of the investments in 2022? Unrealized loss of P15,000. O Unrealized gain of P35,000. Realized gain of P35,000. О РО.
- On its December 31, 2020 balance sheet, a company correctly reported a $89,000 debit balance in its Fair Value Adjustment (Available-for-Sale) account. There was no change during 2021 in the composition of the company’s portfolio of available-for-sale securities. At the end of 2021, the following information pertains to the portfolio: Cost at 12/31/21 Fair value at 12/31/21 $269,000 $154,000 The unrealized gain/loss to appear as a component of comprehensive income for the year ending December 31, 2021 is $____________. (Very Important: if you obtain an unrealized holding loss, then you need to put a minus sign in front of the amount. If you obtain an unrealized holding gain, then no plus or minus sign is needed.)An entity acquired an investment in equity instrument for P800,000 on 31 March 2020. The direct acquisition costs incurred were P140,000. On 31 December 2020 the fair value of the instrument was P1,100,000 and the transaction costs that would be incurred on sale were estimated at P120,000. If the investment is designated as FA@FVTOCI, what gain would be recognized in the financial statements for the year ended 31 December 2020? A. Nil B. 40,000 C. 160,000 D. 420,000. During 2019, Blackpink Company purchased marketable equity securities to be measured at fair value through other comprehensive income. On December 31, 2019, the balance in the unrealized loss on these securities was P200,000. There were no security transactions during 2020. Pertinent data on December 31, 2020 are: Cost Security Value Marketable A 2,100,000 1,600,000 1,850,000 2,000,000 C 1,050,000 900,000 In the statement of changes in equity for 2020, what amount should be included as cumulative unrealized loss as component of other comprehensive income? *
- Some of Cullumber Lake Limited's investment securities are classified as trading securities and some are classified as non- trading. The cost and fair value of each category at December 31, 2020, were as follows. Trading securities Nokn-trading securities Cost ¥96,500 ¥59,500 Fair Value ¥85,000 $64,000 Unrealized Gain (Loss) ¥(11,500 ) ¥4,500 At December 31, 2019, the Fair Value Adjustment-Trading account had a debit balance of ¥2,600, and the Fair Value Adjustment-Non-Trading account had a credit balance of ¥6,200. Prepare the required journal entries for each group of securities for December 31, 2020.On January 1, 2020, the Stew Corporation purchased equity securities to be held for trading purposes for $2,000,000. The company also paid commissions, taxes and other transaction costs amounting to $50,000. The securities had fair values at December 31, 2020 and 2021, respectively: $1,750,000 and $2,100,000. No securities were sold during 2020. What amount of unrealized gain (loss) should be reported in the 2020 profit or loss section of the statement of comprehensive income?In 2021, Cromwell Corporation purchased bonds of Oliver Company at par for $300,000 and classified the investment as available-for-sale. In 2022, the market value declined to $200,000. In 2023, the market value of the investment roset o $230,000, and the investment was sold. How much should Cromwell record as a realized gain or loss in its determmation of net income for 2023? a. $0 b. $30,000 gain c. $70,000 loss d. $100,000 loss
