At December 31, 2020, the available-for-sale debt portfolio for Pharoah, Inc. is as follows.

Security		Cost		Fair Value		Unrealized Gain (Loss)
A		$23,625		$20,250		$(3,375	)
B		16,875		18,900		2,025
C		31,050		34,425		3,375
Total		$71,550		$73,575		2,025
Previous fair value adjustment balanceDr.						540
Fair value adjustmentDr.						$1,485

On January 20, 2021, Pharoah, Inc. sold security A for $20,385. The sale proceeds are net of brokerage fees.

Prepare the adjusting entry at December 31, 2020, to report the portfolio at fair value. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Account Titles and Explanation	Debit	Credit

Show the balance sheet presentation of the investment-related accounts at December 31, 2020. (Do not leave any answer field blank. Enter 0 for amounts.)

PHAROAH, INC Balance Sheet

Current assets

(got wrong) ______

Stockholders Equity

Common stock 0

APIC 0

Retained earnings 0

add

Accumulated other comprehensive income _____

Total stockholder's equity _____

Prepare the journal entry for the 2021 sale of security A. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
Jan. 20, 2021