Under the accumulated other comprehensive income in stockholders’ equity section of its December 31, year 2 balance sheet, what amount should Stone report? * Stone does not use the fair value option to account for available-for-sale securities. Informationregarding Stone Co.'s portfolio of available-for-sale securities is as follows:170,000Aggregate cost as of 12/31/Y24,000Unrealized gains as of 12/31/Y226,000Unrealized losses as of 12/31/Y2Net realized gains during year 230,000At December 31, year 1, Stone reported an unrealized loss of 1,500 in other comprehensiveincome to reduce these securities to fair value. Under the accumulated other comprehensiveincome in stockholders' equity section of its December 31, year 2 balance sheet, what amountshould Stone report?

Stockholders’ equity is the measure of assets staying in a business after the sum total of the…

Answered: Stone does not use the fair value…

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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Under the accumulated other comprehensive income in stockholders’ equity section of its December 31, year 2 balance sheet, what amount should Stone report? *

Stone does not use the fair value option to account for available-for-sale securities. Information
regarding Stone Co.'s portfolio of available-for-sale securities is as follows:
170,000
Aggregate cost as of 12/31/Y2
4,000
Unrealized gains as of 12/31/Y2
26,000
Unrealized losses as of 12/31/Y2
Net realized gains during year 2
30,000
At December 31, year 1, Stone reported an unrealized loss of 1,500 in other comprehensive
income to reduce these securities to fair value. Under the accumulated other comprehensive
income in stockholders' equity section of its December 31, year 2 balance sheet, what amount
should Stone report?

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

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