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Kramer Company's equity securities portfolio which is appropriately included in current assets is as follows: December 31, 2018 Fair Unrealized Cost Value Gain (Loss) Catlett
Kramer Company's equity securities portfolio which is appropriately included in current assets is as follows:
December 31, 2018
Fair Unrealized
Cost Value Gain (Loss)
Catlett Corp. $260,000 $215,000 $(45,000)
Lyman, Inc. 245,000 265,000 20,000
$505,000 $480,000 $(25,000)
Ignoring income taxes, what amount should be reported as a charge against income in Kramer's 2018 income statement if 2018 is Kramer's first year of operation?
a. $0.
b. $20,000 gain.
c. $25,000 loss.
d. $45,000 loss.
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