Fair Value Journal Entries, Available-for-Sale Investments

The investments of Steelers Inc. include a single investment: 10,900 shares of Bengals Inc. common stock purchased on September 12, Year 1, for $11 per share including brokerage commission. These shares were classified as available-for-sale securities. As of the December 31, Year 1, balance sheet date, the share price declined to $8 per share.

a. Journalize the entries to acquire the investment on September 12 and record the adjustment to fair value on December 31, Year 1.

Year 1 Sept. 12	Investments-Bengals Inc. Stock (_________)
	Cash (_________)
Year 1 Dec. 31	Unrealized Gain (Loss) on Available-for-Sale Investments		(_________)
	Valuation Allowance for Available-for-Sale Investments		(___________)