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pls help thank u 15. S&L Financial buys and sells securities which it classifies as available-for-sale. On December 31,2018 , a bond has an amortized
pls help thank u
15. S\&L Financial buys and sells securities which it classifies as available-for-sale. On December 31,2018 , a bond has an amortized cost of $800,000. The bond's fair value adjustment has a debit balance of $20,000, but the bond's fair value is now $825,000. The journal entry to adjust the fair value adjustment will include: a. Debit to fair value adjustment for $5,000 b. Credit to fair value adjustment for $5,000 c. Debit to unrealized holding gain on AFS investments-OCI for $5,000 d. Credit to fair value adjustment for $25,000 15. S\&L Financial buys and sells securities which it classifies as available-for-sale. On December 31,2018 , a bond has an amortized cost of $800,000. The bond's fair value adjustment has a debit balance of $20,000, but the bond's fair value is now $825,000. The journal entry to adjust the fair value adjustment will include: a. Debit to fair value adjustment for $5,000 b. Credit to fair value adjustment for $5,000 c. Debit to unrealized holding gain on AFS investments-OCI for $5,000 d. Credit to fair value adjustment for $25,000 Step by Step Solution
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