QS C-8 Recording fair value adjustment for available-for-sale debt securities LO P3 During the current year, Reed Consulting acquired long-term available-for-sale debt securities on July 1 at a $74,000 cost. At its December 31 year-end, these securities had a fair value of $61,600. This is the first and only time the company purchased such securities. Required: 1. Prepare the July 1 entry to record the purchase of these debt securities. 2. Prepare the year-end adjusting entry related to these securities. Answer is complete but not entirely correct. No Date General Journal Credit Debit 74,000 Jul 01 Stock investments Cash 74,000 Dec 31 12,400 Unrealized loss - Equity Fair value adjustment - Available-for-sale 12,400