Exercise 17-10

At December 31, 2017, the available-for-sale debt portfolio for Vaughn, Inc. is as follows.

Security		Cost		Fair Value		Unrealized Gain (Loss)
A		$167,125		$143,250		$(23,875	)
B		119,375		133,700		14,325
C		219,650		243,525		23,875
Total		$506,150		$520,475		14,325
Previous fair value adjustment balanceDr.						3,820
Fair value adjustmentDr.						$10,505

On January 20, 2018, Vaughn, Inc. sold security A for $144,205. The sale proceeds are net of brokerage fees. Vaughn Inc. reports net income in 2017 of $1,146,000 and in 2018 of $1,337,000. Unrealized holding gains and gains equal $382,000 in 2018.

Prepare a statement of comprehensive income for 2017, starting with net income. VAUGHN, INC Statement of Comprehensive Income For the Year Ended December 31, 2017 Net Income