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In January 2022, the management of Carla Vista Company concludes that it has sufficient cash to permit some short-term investments in debt and equity securities.

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In January 2022, the management of Carla Vista Company concludes that it has sufficient cash to permit some short-term investments in debt and equity securities. During the year, the following transactions occurred. Feb. 1 Mar. 1 Apr. 1 Purchased 500 shares of Muninger common stock for $25,000 Purchased 700 shares of Tatman common stock for $17,500. Purchased 30 of $1,120,5% Yoakem bonds for $33,600. Interest is payable semiannually on April 1 and October 1. Received a cash dividend of $0.60 per share on the Muninger common stock. Sold 167 shares of Muninger common stock at $65 per share. July 1 Aug 1 Sept. 1 Received a $1 per share cash dividend on the Tatman common stock Oct 1 Received the semiannual interest on the Yoakem bonds Oct 1 Sold the Yoakem bonds for $31,600 At December 31, the fair value of the Muninger and Tatman common stocks were $51 and 524 per share respectively. These stock Investments by Carla Vista Company provide less than a 20% ownership interest. (b) Prepare the adjusting entry at December 31, 2022, to report the investment securities at fair value. All securities are considered to be trading securities. (List all debit entries before credit entries. 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 for the amounts.) Date Account Titles and Explanation Debit Credit Dec 31 (c) Show the balance sheet presentation of investment securities at December 31, 2022. Carla Vista Company Balance Sheet (Partial) $ (d) Give the statement classification of each income statement account. Income Statement Account Category Dividend Revenue Gain on Sale of Stock Investments Interest Revenue Loss on Sale of Debt Investments Unrealized Loss --Income

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