From the December 31, 2016 annual report of Intel Corporation: Note 5: Cash and Investments Available for sale investments as of December 31, 2016 and December 26, 2015, were as follows: equity December 31, 2016 December 31, 2015 Gross Gross Gross Gross (S in Adjusted Fair Adjusted Fair Unrealized Unrealized - Unrealized Unrealized millions) Cost Gains Value Costa Value Losses Gains Losses Corporate $3,847 $4 $(14) $3,837 $4,169 $3 $(11) $4,161 debt Financial 6.098 5 (11) 6,092 11,1401 (2) 11,139 instruments Government 1,581 - (8) 1,573 748 - (1) 747 debt Marketable 2,818 3,363 (1) 6,180 3.254 2,706 - 5,960 securities Total $14,344 $3,372 $(34) $17,682 19,311 $2,710 $(14) $22,007 for-sale investments Intel also indicated the following: "During 2016, we sold available-for-sale investments for proceeds of $4.1 billion... the gross realized gains of available-for-sale investments were $530 million in 2016." Intel's Note 16 (Other Comprehensive Income) indicates unrealized holding gains of $1,170 million during 2016, and a reclassification adjustment of $530 for gains that had previously been included in OCI and recorded in the fair value adjustment but which were now being included in net income after being realized upon sale. 1) Draw a T-account that shows the change between the December 26, 2015 and December 31, 2016, balances for the fair value adjustment associated with Intel's AFS investments for 2016. By how much did the fair value adjustment change during 2016? 2) Prepare a journal entry that records any unrealized holding gains and losses that occurred during 2016 (Note 16). Ignore income taxes. 3) Prepare a journal entry that records any classification adjustment for available-for-sale investments sold during 2016 (Note 16). Ignore income taxes. From the December 31, 2016 annual report of Intel Corporation: Note 5: Cash and Investments Available for sale investments as of December 31, 2016 and December 26, 2015, were as follows: equity December 31, 2016 December 31, 2015 Gross Gross Gross Gross (S in Adjusted Fair Adjusted Fair Unrealized Unrealized - Unrealized Unrealized millions) Cost Gains Value Costa Value Losses Gains Losses Corporate $3,847 $4 $(14) $3,837 $4,169 $3 $(11) $4,161 debt Financial 6.098 5 (11) 6,092 11,1401 (2) 11,139 instruments Government 1,581 - (8) 1,573 748 - (1) 747 debt Marketable 2,818 3,363 (1) 6,180 3.254 2,706 - 5,960 securities Total $14,344 $3,372 $(34) $17,682 19,311 $2,710 $(14) $22,007 for-sale investments Intel also indicated the following: "During 2016, we sold available-for-sale investments for proceeds of $4.1 billion... the gross realized gains of available-for-sale investments were $530 million in 2016." Intel's Note 16 (Other Comprehensive Income) indicates unrealized holding gains of $1,170 million during 2016, and a reclassification adjustment of $530 for gains that had previously been included in OCI and recorded in the fair value adjustment but which were now being included in net income after being realized upon sale. 1) Draw a T-account that shows the change between the December 26, 2015 and December 31, 2016, balances for the fair value adjustment associated with Intel's AFS investments for 2016. By how much did the fair value adjustment change during 2016? 2) Prepare a journal entry that records any unrealized holding gains and losses that occurred during 2016 (Note 16). Ignore income taxes. 3) Prepare a journal entry that records any classification adjustment for available-for-sale investments sold during 2016 (Note 16). Ignore income taxes