Clarion had the following investments in its portfolio that were purchased during year 2. Classification Fair...
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Clarion had the following investments in its portfolio that were purchased during year 2. Classification Fair value Available-for-sale Held-to-maturity $21,000 $25,000 | $26,000 $0 Fair Value 12- 31-Y2 Investment Cost Common stock of Company X $100,000 $121,000 Bond of Company Y $ 96,000 $101,000 Bond of Company Z $ 64,000 $ 63,000 On December 31, Year 2, the amortized cost of Bond Y was $97,000, and the amortized cost of Bond Z was $63,500. Clarion does not elect the fair value option for reporting financial assets. What amount should Clarion record as an unrealized gain in its Year 2 income statement? Clarion had the following investments in its portfolio that were purchased during year 2. Classification Fair value Available-for-sale Held-to-maturity $21,000 $25,000 | $26,000 $0 Fair Value 12- 31-Y2 Investment Cost Common stock of Company X $100,000 $121,000 Bond of Company Y $ 96,000 $101,000 Bond of Company Z $ 64,000 $ 63,000 On December 31, Year 2, the amortized cost of Bond Y was $97,000, and the amortized cost of Bond Z was $63,500. Clarion does not elect the fair value option for reporting financial assets. What amount should Clarion record as an unrealized gain in its Year 2 income statement?
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Bond Y Fair value Amortized cost Unrealized gain 121000 97000 24000 Bond Z Fai... View the full answer
Related Book For
Intermediate Accounting IFRS
ISBN: 9781119607519
4th Edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
Posted Date:
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