During the fourth quarter of 2010, Cable, Inc., generated excess cash, which the company invested in trading

Question:

During the fourth quarter of 2010, Cable, Inc., generated excess cash, which the company invested in trading securities as follows:
2010
Nov 18 Purchased 900 common shares as an investment in trading securities, paying $12 per share.
Received cash of $0.48 per share on the Dec 15 trading securities.
Dec 31 Adjusted the trading securities to their market value of $8 per share.

Requirements
1. Open T-accounts for Cash (including its beginning balance of $15,000), Short-Term Investments, Revenue, and Unrealized Gain (Loss) on Investment.
2. Journalize the foregoing transactions and post to the T-accounts.
3. Show how to report the short-term investment on Cables at December 31.
4. Show how to report whatever should appear on Cables income statement for the year ended December 31, 2010.
5. Cable sold the trading securities for $8,388 on January 12, 2011. Journalize the sale.

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