Exercise 17-9 At December 31, 2017, the available-for-sale debt portfolio for Steffi Graf, Inc. is as follows. Unrealized Security Gain (Loss) Cost Fair Value $17,500 $15,000 $(2,500) A 12,500 B 14,000 1,500 23,000 C 25,500 2,500 $53,000 $54,500 Total 1,500 Previous fair value adjustment balance-Dr 400 Fair value adjustment-Dr $1,100 On January 20, 2018, Steffi Graf, Inc. sold security A for $15,100. The sale proceeds are net of brokerage fees. Prepare the adjusting entry at December 31, 2017, 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 Fair Value Adjustment 1100 Unrealized Holding Gain or Loss -Equity 1100 Unrealized Holding Gain or Loss Equity ACCOUNTS SHO LIST LINK O XT Show the balance sheet presentation of the investment-related accounts at December 31, 2017. (Do not leave any answer field blank. Enter 0 for amounts.) STEFFI GRAF, INC Balance Sheet For the Year Ended December 31, 2017 Current Assets 54500 Debt Investments $ Stockholders' Equity Common Stock Additional Paid-in Capital Retained Earnings Add 1500 Accumulated other Comprehensive Income Total Stockholders' Equity $ SHOW LIST OF ACCOUNTS LINK TO TEXT Prepare the journal entry for the 2018 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.) Account Titles and Explanation Debit Credit Date Jan. 20, 2018 Cash 15100 Allowance for Loss on Debt Investment 2400 Unrealized Holding Gain or Loss - Equity 17500 SHOW LIST OF ACCOUNTS LINK TO TEXT