Question#1 All of the following statements regarding accounting for trading debt securities under U.S. GAAP are true except:

		1-An unrealized gain or loss is recorded with an adjusting entry at the end of each period.
		2-The entire portfolio of trading securities is reported at fair value.
		3-Unrealized gains and losses are recorded in a temporary account that is closed to Income Summary at the end of each period.
		4-An unrealized gain or loss is recorded with an adjusting entry when the securities are sold.
	5-	An unrealized gain or loss from a change in fair value is reported in the income statement.