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Pearl Corporation purchases equity securities costing $ 8 3 , 0 0 0 . At Decemeber 3 1 , the fair value of the portfolio

Pearl Corporation purchases equity securities costing $83,000. At Decemeber 31, the fair value of the portfolio is $74,500. Prepare the adjusting entry to report the securities properly, assuming that the investments purchased represent less than 5% interest in the other companies.

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