Hello,

January 1, 20X1 EFI paid $176,618 for a $200,000, 3.0% coupon bond issued by Belle Inc. that pays interest on June 30 and December 31 each year. The bond matures on December 31, 20X7. EFI classified this investment at fair value through other comprehensive income (FVOCI).

Dec 31, 20X1 market value is 183,500

Jan 1, 20X2 EFI reclassified its investment in Belle Inc bonds from FVOCI to amortized cost.

Is the JE for this

Dr. investment - Belle Inc ltd-A/C 183,500

Cr. investment- Belle Inc- FVPL 183,500

Or do we have to adjust the fair value from removing OCI from AOCI?