1. A company has a bond investment classified as "Held-to-maturity". The amortized cost of the investment on December 31, 2020 was $ 96,700. The market value of the bonds on that same date was $102,400. The company will recognize in its 2020 financial statements: A. An unrealized gain of $5,700 on the Income and Expense Statement b. An unrealized gain of $ 5,700 on the "Statement of comprehensive income" c. A credit balance of Fair value adjustment in the Balance Sheet d. None of the above 2. Refer to the previous question. Suppose that on February 28, 2021, the market value of the bonds was $ 103,500. The company sold the bonds for that amount on March 1, 2021. Prior to the sale, the amortized cost was adjusted to $ 96,900. On the aforementioned date, the company will recognize as a result of the sale: A. A realized gain of $6,600 on the Income and Expense Statement. b. A realized gain of $ 1,100 on the Income and Expense Statement. c. An unrealized gain of $ 1,100 and a realized gain of $ 5,500 on the Income and Expense Statement. d. A realized gain on the sale of $ 1,100 and a reclassification from AOCI to the Statement of Income and Expenses for $5,500. 3. A company has a portfolio of investments classified as "for trading (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: A. An unrealized loss of $ 4,060 on the Income and Expense Statement b. An unrealized loss of $4,060 on the "Statement of comprehensive income" c. A credit balance of Fair value adjustment in the Balance Sheet d. Alternatives "a" and "c" are correct. IF 4. Refer to the previous question. Suppose that on December 31, 2020, the company sold the investment portfolio in its entirety for the amount of its market value. The company will recognize on December 31: A. An unrealized loss on the Income and Expense Statement b. A realized loss on the Income and Expense Statement c. A realized loss and reclassification of AOCI in the Statement of Income and Expense d. None of the above. 5. A company has a bond investment classified as "Available for sale". As of December 31, 2020, the amortized cost was $ 147,500 and the market value was $ 150,000. The company will recognize in its 2020 financial statements: A. An unrealized gain of $ 2,500 on the Income and Expense Income Statement b. An unrealized gain of $2,500 on the "Statement of comprehensive income" c. A credit balance of Fair value adjustment in the Balance Sheet. d. Both "b" and "c" are correct. 6. Suppose that on July 15, 2021, when the amortized cost of the investment in the previous question was $148.00, the company sold the investment for the amount of $ 152,000, which was the market value on that date. In the entry of the wage to record the sale, the company will recognize: A. An unrealized gain of $ 4,000 on the Income and Expense Statement b. An unrealized gain of $ 4,000 on the Statement of comprehensive income c. A realized gain of $ 4,000 on the Income and Expense Statement d. A realized gain of $ 2,000 on the Income and Expense Statement