10 ABC Company Hay 9 Purchase, 270 ,hares of Higo 'to ek ahort-term investment in availablt-ter-nie ,ecuzitie, at a eost of une a sells 135 abazes ot s investment n RLg completes the following transactions during the current year 32 pez share plus $270 1 brokez tees stock at 935 per shaze. The broker's commission on this sale ports awarded 104 Dec. 31 The eiosing mazket price (tais vaiue) ot the Huge secck is s30 pez shaze. Prepare the May 9 and June 2 journal entries and the December 31 adjusting entry. This is the first and only time the company purchased such securities (f no entry is required for a transection/event, select No journal entry required" in the first account field.) Debit Credit 8.818 1 May 09 Short .term inve stments-AFS Higo Cash 8,818 Jun 02 Cash 4,621 4,621 O Short-term investments-AFS (Higo) Gain on sale of shortterm investments ,409 212 3 Dec 31 Fair value adjustment-Available for-sale (ST) Unrealized gain-Income