QS C-7 Available-for-sale securities LO P3

Journ Co. purchased short-term investments in available-for-sale securities at a cost of $70,000 on November 25, 2017. At December 31, 2017, these securities had a fair value of $65,000. This is the first and only time the company has purchased such securities.

1. & 3. Prepare the December 31, 2017, year-end adjusting entry for the securities' portfolio and the April 6, 2018, entry when Journ sells one-half of these securities for $36,400.

3 QS C-7 Available-for-sale securities LO P3 Journ Co. purchased short-term investments in available-for-sale securities at a cost of $70,000 on November 25, 2017. At December 1.87 31, 2017, these securities had a fair value of $65,000. This is the first and only time the company has purchased such securities. points 1. & 3. Prepare the December 31, 2017, year-end adjusting entry for the securities' portfolio and the April 6, 2018, entry when Journ sells one-half of these securities for $36,400.