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On November 15, 2020, Evergreen Inc. purchases a trading investment for $150,000. Evergreen also enters into a put option to sell the shares for $150,000.

On November 15, 2020, Evergreen Inc. purchases a trading investment for $150,000.

Evergreen also enters into a put option to sell the shares for $150,000. At December 31, 2020,

the investment is valued at $155,000.

Required

a. Record any adjusting entries required at December 31, 2020 in connection with the

above transactions.

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