Storm, Inc. purchased the following available-for-sale securities during 2014, its first year of operations: The market price

Question:

Storm, Inc. purchased the following available-for-sale securities during 2014, its first year of operations:

The market price per share for the available-for-sale security portfolio on December 31, 2014, was as follows:
Market Price per Share,
Dec. 31, 2014____________________________
Dust Devil, Inc. ........$40
Gale Co. ...........75
Whirlwind Co. ...........42
a. Provide the journal entry to adjust the available-for-sale security portfolio to fair value on December 31, 2014.
b. Describe the income statement impact from the December 31, 2014, journalentry.

Portfolio
A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds. A portfolio can also consist of non-publicly...