On March 1, 2014, Rain Technology purchased 20,000 shares of Lightyear Services Company for $10 per share. The following information applies to the stock price of Lightyear Services:
Price
12/31/2014 ..... $ 8
12/31/2015 ..... 14
12/31/2016 ..... 17
Required:
1. Prepare journal entries to record the facts in the case, assuming that Rain purchased the shares for the trading securities portfolio.
2. Prepare journal entries to record the facts in the case, assuming that Rain purchased the shares for the available-for-sale securities portfolio.