Fair Value Journal Entries, Trading Investments classified as trading securities. As of the December 31 , Year 1 , balance sheet date, the share price increased to $49 per share. a. Journalize the entries to acquire the investment on February 24, and record the adjustment to fair value on December 31 , Year 1. Year 1 Feb. 24 Year 1 Dec. 31 b. How is the unrealized gain or loss for trading investments reported on the financial statements? The unrealized gain or unrealized loss for trading investments is disclosed in the as