On January 1, 20x1, JME invested in the common stock of Hunting, Inc. Certain data for 20X1 and 20X2 are as follows

year	# shares purchased	Cost per share	Cash dividend 12/1	Market price per share on 12/31
20X1	2,800	$40	$1.50	$46.00
20X2	n/a	n/a	$1.00	$48.00

1 - JME has no other investment securities.

2 - These are TRADING SECURITIES under ASC 320 i.e., securities bought and held principally for the purpose of selling them in the near term. Trading securities can include both equity and debt securities.

3 - JME applies ASC 320 in both 20X1 and 20X2

4 - No investments were sold in 20X1

5 On 2/27/X2 JME sold 800 shares for cash at a price of $47.00 per share

6 Prior to recording the sale of any security, JME records an adjustment to the value of its whole portfolio of trading securities

7 You may ignore taxes

1 - In the table shown on the next page, you are to record all journal entries, if required, on the dates indicated. Some of the account titles JME uses include Trading Securities, AFS Securities, Dividend Revenue/Income, Investment Inc. Unrealized Gain (Loss), Unrealized gain/loss on AFS-Other Comprehensive Income, Realized Gain (Loss) on Sale, Cash, Fair Value Adjustment, and interest income etc. Show computations where applicable.

1/1/X1
12/1/X1
12/31/X1
2/27/X2
12/1/X2
12/31/X2

2 - Following are amounts from the F/S of JME, Inc. BEFORE giving consideration to the securities transactions above

Item	20X1	20X2
Net Income	140,000	120,000
Cash flow from operating activities	190,000	170,000
Cash flow from investing activities	<105,000>	<89,000>
Cash flow from financing activities	65,000	80,000

You are to restate the above amounts AFTER consideration to the securities transactions above

Item	20X1	20X2
Net Income
Cash flow from operating activities
Cash flow from investing activities
Cash flow from financing activities