please help
Investments Financial Statements and Valuation The accountant preparing the financial statements has asked you to provide the fair value as of the end of the year for the investments. Present the information as it would be shown on the financial statements. Last year, The Wellington Company reported costs of $68,000 in trading investments and $82,000 in available-for-sale investments. Refer to the journal entries shown on The Wellington Company panel. Assume that all investments sold during this year were trading investments and that purchases during the year were new investme nts 1. Select the correct label for each line and fill in the amount. In classifying the investments, choose a categorization which seems most likely, given the pattern of transactions in the journal entries. Enter all amounts as positive numbers. If an amount box does not require an entry, leave it blank curities Trading Financial Statements and Valuation pattern of transactions in the journal entries Enter all amounts as positive numbers. If an amount box does not require an entry, leave it blank Trading Securities S Available-For-Sale Securities 2. Where on the balance sheet do trading securities appear? 3. Where is the gain or loss m the change in value of available-for-sale securities reported in the financial statements? 4. Where are held-to-maturity securities reported? Based on the journal entries for this year, does the company have any held-to-maturity securities? 5. Where are securities held for strategic reasons reported in the financial statements when using the equity method? Based on the journal entries for this year, does The Wellington Company have any equity securities? 6. Which of the following items does not affect net income? Check all that apply The Wellington Company DATE ACCOUNTING IA DESCRIPTION POST. REF DEBIT CREDIT ASSETS LIABILITI Jan. 17 Investments-Red Rock Co. Stock 40,700.00 Cash 40,700.00 Feb. 5 Investments-Sunset Village Bonds 37,000.00 Interest Receivable 320.00 Cash 37,320.00 Investments-Mays and Co. Stock 23 27.750.00 7 27,750.00 Cash 1 370.00 Mar. 31 Cash 320.00 Interest Receivable Interest Receivable 320.00 Interest Revenue 10 50.00 Apr. 6 Investment in Minions Corp. Stock 11 185,000.00 Cash 12 185,000.00 30 Cash 13 750.00 Dividend Revenue 14 750,00 Jul 1 Cash 21,374.00 15 Loss on Sale of Investment 2,886.00 16 Interest Revenue 210.00 17 Investments-Sunset Village Bonds 24,050.00 18 41.200,00 Aug. 14 Cash 19 1,800.00 Gain on Sale of Investments 20 39,400.00 Investments-Harding Construction Stock 21 3,700.00 27 Cash 22 3,700.00 Investment in Minions Corp. Stock 23 31,250.00 Sep. 22 Cash 24 3,500.00 Gain on Sale of Investments 25 27,750.00 Investments-Mays and Co. Stock 26 160.00 30 Cash 27 160.00 Interest Revenue 28 30 Cash 16000 28 Interest Revenue 160.00 29 Nov. 1 Investment in Minions Corp. Stock 16.650.00 Income of Minions Corp 30 16,650.00 Dec. 31 Unrealized Loss on Available-For-Sale Investments 31 3.275.00 Valuation Allowance for Available-For-Sale Investments 32 3,275.00 33 2.15000 31 Valuation Allowance for Trading Investments 2,150.00 Unrealized Gain on Trading Investments 34
