Question
Question Content Area Adjusting the Allowance to Adjust Trading Securities to Market Caesar Corporation has the following information for its portfolio of trading securities at
Question Content Area
Adjusting the Allowance to Adjust Trading Securities to Market
Caesar Corporation has the following information for its portfolio of trading securities at the end of the past 4 years:
| Date | Portfolio Cost | Portfolio Market Value | ||
| 12/31/2021 | $162,300 | $153,800 | ||
| 12/31/2022 | 109,600 | 106,200 | ||
| 12/31/2023 | 148,900 | 151,300 | ||
| 12/31/2024 | 139,000 | 138,700 |
Required:
Question Content Area
1. Prepare the journal entries, if necessary, to adjust the allowance account at the end of 2022, 2023, and 2024. If an amount box does not require an entry, leave it blank.
| 2022 Dec. 31 | Allowance to Adjust Trading Securities to MarketGoodwillInvestment-Equity MethodInvestment IncomeUnrealized Gain (Loss) on Trading SecuritiesAllowance to Adjust Trading Securities to Market | ||
| Allowance to Adjust Trading Securities to MarketGoodwillInvestment-Equity MethodInvestment IncomeUnrealized Gain (Loss) on Trading SecuritiesUnrealized Gain (Loss) on Trading Securities | |||
| 2023 Dec. 31 | Allowance to Adjust Trading Securities to MarketGoodwillInvestment-Equity MethodInvestment IncomeUnrealized Gain (Loss) on Trading SecuritiesAllowance to Adjust Trading Securities to Market | ||
| Allowance to Adjust Trading Securities to MarketGoodwillInvestment-Equity MethodInvestment IncomeUnrealized Gain (Loss) on Trading SecuritiesUnrealized Gain (Loss) on Trading Securities | |||
| 2024 Dec. 31 | Allowance to Adjust Trading Securities to MarketDividend IncomeInvestment-Equity MethodInvestment IncomeUnrealized Gain (Loss) on Trading SecuritiesUnrealized Gain (Loss) on Trading Securities | ||
| Allowance to Adjust Trading Securities to MarketDividend IncomeInvestment-Equity MethodInvestment IncomeUnrealized Gain (Loss) on Trading SecuritiesAllowance to Adjust Trading Securities to Market |
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Feedback
Partially correct
Question Content Area
2. Conceptual Connection: What is the income statement effect of the 2024 entry? If there is no effect, please enter "0" for the amount and select "no effect" from the dropdown.
The 2024 income statement effect is a $fill in the blank 8c95a5f7efbffcd_1
lossgainno effectloss
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Partially correct
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Public Finance
Authors: Harvey S Rosen
7th Edition
0072876484, 978-0072876482
