VALUATION OF SHORT-TERM INVESTMENTS. Perry Corporation, which began business on January 1, 19x2, has provided the following information about its portfolio of short-term investments at the end of its first 4 years of operation:

REQUIRED:
Prepare the journal entries needed, if any, to adjust the allowance account at the end of 19x2, 19x38, 19x4, and 19x5.

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MARKET PORTFOLIO PORTFOLIO MINUS DATE MARKET VALUE COST COST 12/31/x2 $153,800 $162,300 $(8,500) 12/31/x3 106,200 109,600 (3,400) 12/31/x4 151,300 148,900 2,400 12/31/x5 139,000 138,700 300 These short-term investments are part of Perry's cash management program.