Need answers to exercise 7.4

c. Prepare the necessary journal entry to update the accounting records. Weis Markets accumulates large amounts of excess cash throughout the year. It typically invests these funds in marketable securities until they are needed. The company financial statements revealed a nearly $14 million un Footnotes to the financial fair value. EXERCISE 7.3 Fair Value Adjustment 's most recent realized gain on short-term investments statements disclosed that Weis reports its short-term investments at Explain the meaning of the company's unrealized gain on short-term investments. b. a. How does the unrealized gain impact the company's financial statements? upa ildl n h coauable lacomet Explain d. Evaluate fair value accounting from the perspective of the company's creditors. Mumford Corporation invested $30,000 in marketable securities on December 4. On December 9, it sold some of these investments for $10,000, and on December 18, it sold more of these invest- ments for $5,000. The securities sold on December 9 had cost the company $7,000, whereas the securities sold on December 18 had cost the company $6,000. BRIEF EXERCISE 7.4 Accounting for Marketable Securities Exe Chapter 7 Financial Assets a. Record the purchase of marketable securities on December 4. b. Record the sale of marketable securities on December 9 c. Record the sale of marketable securities on December 18. d. Record the necessary fair value adjustment on December 31, assuming that the market value of the company's remaining unsold securities was $20,000. Pachel Corporation reports the following information pertainine to its accoutsreiable