Balance Sheet Presentation, Trading Investments

The income statement for Tri-Con, Inc., for the year ended December 31, 2014, was as follows:

Tri-Con, Inc.
Income Statement (selected items)
For the Year Ended December 31, 2014
Income from operations	$140,000
Gain on sale of investments	10,000
Less unrealized loss on trading investments	32,000
Net income	$118,000

The balance sheet dated December 31, 2013, showed a Retained Earnings balance of $575,000. During 2014, the company purchased trading investments for the first time at a cost of $156,000. In addition, trading investments with a cost of $42,000 were sold at a gain during 2014. The company paid $33,000 in dividends during 2014.

a. Determine the December 31, 2014, Retained Earnings balance. $

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a. Add net income and subtract dividends from beginning retained earnings.

Learning Objective 4.

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b. Provide the December 31, 2014, balance sheet disclosure for Trading Investments.

Tri-Con, Inc.
Balance Sheet Disclosure for Trading Investments
For December 31, 2014
		$
		$