What the company will recognize on december

Assignment Help Accounting Basics
Reference no: EM132744751

Problem 1: A company has a portfolio of investments classified as "for trading". As of December 31, 2020, the amortized cost of the portfolio was $ 190,550. On that same date, the market value of the portfolio was $ 186,490. The company will recognize in its 2020 financial statements.

Problem 2: Refer to the previous question. Suppose that on December 31, 2020, the company sold the entire investment portfolio for the amount of its market value. The company will recognize on December 31:

a. An unrealized loss in the Income Statement
b. A realized loss on the Income Statement
c. A realized loss and reclassification of AOCI in the Income Statement.
d. None of the above

Reference no: EM132744751

Questions Cloud

How would you handle a situation that teetered on the edge : How would you handle a situation that teetered on the edge of unethical, but was not against company policy? For example, there is no clear rule in your.
What was the company asset turnover : Bramble Company reported net sales of $543000, net income of $72200, beginning total assets of $233000, What was the company asset turnover
Identify the components of crm : Identify the components of CRM and explain each with a couple of key points.
Work on your personal business plan : Develop contingency and risk mitigation strategies - Entrepreneurship is not all about personal financial gain. It concerns crafting a lifelong plan
What the company will recognize on december : The company sold the entire investment portfolio for the amount of its market value. The company will recognize on December 31
What is social capital : What is social capital? Name and explain the 4 ways social capital adds value
Differences between personal preferences : Think about common shopping behavior and the differences between personal preferences. Some people shop daily for the items they need daily
What is the stock price according to the constant growth : The required rate of return on this stock is 9.96 percent. What is the stock price according to the constant growth dividend model
Find the company will recognize in financial statements : On that same date, the market value of the portfolio was $ 186,490. The company will recognize in its 2020 financial statements

Reviews

Write a Review

Accounting Basics Questions & Answers

  What is the monthly break-even point in units sold

Question - Pringle Company sells a single product. What is the monthly break-even point in units sold and in sales dollars

  What the change will for xyz corporation

A assuming 5-year depreciation. Her accountant reviews the analysis and changes the depreciation method to 3-year depreciation. This change will

  Palm beach hotel accepts telephone reservations for rooms

palm beach hotel accepts telephone reservations for rooms during its summer tourist season but requires a 20 cash

  Indicate the factor of most significance

Indicate the factor of most significance in today's business environment

  Determine the break-even contribution margin ratio

Determine the break-even contribution margin ratio for a company with a fixed overhead of $92,000, revenues of $450,000, and a required level of profit.

  What is new level of the british pound

The spot rate for the British pound is $1.29. According to the international Fisher effect (IFE), what is new level of the British pound?

  Discuss standard costing in the health care industry

Find a journal article online about standard costing in the health care industry. Provide a summary and a reaction to the article

  Prepare closing entries for sunland golf club

The adjusted trial balance for Sunland Golf Club at its October 31, 2017, year end included. Prepare closing entries for Sunland Golf Club.

  The amount of the impairment loss that antle would record

The amount of the impairment loss that Antle would record for goodwill at the end of 2016 is:

  Determine the book value of the investment

Use this information to determine the book value of the investment that should be reported at year end by All Good Company

  Find the depletion expense is

The estimated residual value of the property is $53,054. During the first year, the company extracted 6,666 tons of ore. The depletion expense is

  What will probably happen to par value per share of value

How many shares of common stock will you own after the stock split?What will probably happen to the par value per share of the stock?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd