Chapter D, Problem 1BP

a.

To determine

Indicate the amount, Company D reports the trading stock investments at, on its balance sheet as of December 31, 2016.

b.

To determine

Indicate the amount, Company D reports the available-for-sale stock investments at, on its balance sheet as of December 31, 2016.

c.

To determine

Indicate the amount, Company D reports the influential investments at, on its balance sheet as of December 31, 2016.

d.

To determine

Ascertain the amount of unrealized holding gains and losses related to stock investment, Company D reports on the income statement.

e.

To determine

Ascertain the amount of unrealized holding gains and losses related to stock investment, Company D reports on the stockholders’ equity section of balance sheet.

f.

To determine

Compute the amount that appears in the Fair Value Adjustment to Stock Investment account on the balance sheet of Company D, indicate the type of stock investment that is related to the said valuation account, and indicate whether the valuation account increases or decreases the stock investment.