Real World Case 12-7 Cmprehensive inc me-Microsoft LO124 Microsoft's 2015 10-K includes the following information in Note 20 relevant to its available-for-sale investments: Accumulated Other Comprehensive Income Page 711 Y ear Ended June 30, 2014 2013 ($ in millions) Investments Accumulated other comprehensive income balance, beginning of period Unrealized gains, net of tax effects of $59, $1,067 and $244 Reclassification adjustments for gains included in other income (expe(728)(447) (139) Tax expense included in provision for income taxes Amounts reclassified from accumulated other comprehensive income Net current period other comprehensive income (loss) Accumulated other comprehensive income balance, end of period 2015 $3,531 $1,794 $1,431 110 2,053 453 256 472) _(316 (362) 1737 363 131 49 $3169 $ 3,531 $1,794 Required 1. Prepare a journal entry to record unrealized gains for 2015. (Hint: S110 is net tax effects, so you will need to add back tax effects to show the amount of unrealized gain gross taxes.) 2. Prepare a journal entry to record Microsoft's reclassification adjustment for 2015 Real World Case 12-7 Cmprehensive inc me-Microsoft LO124 Microsoft's 2015 10-K includes the following information in Note 20 relevant to its available-for-sale investments: Accumulated Other Comprehensive Income Page 711 Y ear Ended June 30, 2014 2013 ($ in millions) Investments Accumulated other comprehensive income balance, beginning of period Unrealized gains, net of tax effects of $59, $1,067 and $244 Reclassification adjustments for gains included in other income (expe(728)(447) (139) Tax expense included in provision for income taxes Amounts reclassified from accumulated other comprehensive income Net current period other comprehensive income (loss) Accumulated other comprehensive income balance, end of period 2015 $3,531 $1,794 $1,431 110 2,053 453 256 472) _(316 (362) 1737 363 131 49 $3169 $ 3,531 $1,794 Required 1. Prepare a journal entry to record unrealized gains for 2015. (Hint: S110 is net tax effects, so you will need to add back tax effects to show the amount of unrealized gain gross taxes.) 2. Prepare a journal entry to record Microsoft's reclassification adjustment for 2015