Required information Knowledge Check 01 On September 15, Jerome, Inc., paid $8,900 to make a long-term investment in available-for-sale securities by purchasing notes of Topper, Inc. Complete the necessary journal entry by selecting the account names from the pull-down menus and entering dollar amounts in the debit and credit columns View transaction list Journal entry worksheet 1 On September 15, Jerome, Inc., paid $8,900 to make a long-term investment in available for sale securities by purchasing notes of Topper, Inc. Complete the necessary Journal entry by selecting the account names from the pull down menus and entering dollar amounts in the debit and credit columns Motel Enterdess before credits General Journal Dahil Credit Datu Sep. 15 explanation Record Clear entry View general Journal Knowledge Check 01 Assume that Jerome's available-for-sale portfolio had a total cost of $50,000 and a fair value of $46,000 on December 31 at the end of the first year it held the AFS securities. Complete the necessary adjusting entry selecting the account names from the pull-down menus and entering dollar amounts in the debit and credit columns. View transaction list Journal entry worksheet 1 Assume that Jerome's available-for-sale portfolio had a total cost of $50,000 and a fair value of $46,000 on December 31 at the end of the first year it held the AFS securities. Complete the necessary adjusting entry selecting the account names from the pull-down menus and entering dollar amounts in the Note Enter debits before credits Date General Journal Debit Credit Dec. 31 explanation Record entry Clear entry View general Journal Required information NIUWieuye LITER VI Jerome, Inc., owned a single short-term available-for-sale security with a cost of $40,000 and a fair value of $40,500 at December 31 of the previous year. At that time, an adjusting entry was recorded for the fair value adjustment with a debit to Fair Value Adjustment- Available-for-sale for $500 and a credit to Unrealized Gain-Equity for $500. Jerome sold that security for $39,900 on January 4 of the current year. Complete the necessary journal entry for January 4th by selecting the account names from the pull-down menus and entering the dollar amounts in the debit and credit columns. (Assume that the portion of the entry that removes the balance in the Unrealized Gain -Equity and Fair Value Adjustment-Available-for-sale (ST) accounts will be made in a separate journal entry) View transaction list Journal entry worksheet 1 Jerome, Inc., owned a single short-term available-for-sale security with a cost of $10,000 and a fair value of $40,500 at December 31 of the previous year. At that time, an adjusting entry was recorded for the fair value adjustment with a debit to Fair Value Adjustment-Available for sale for $500 and a credit Note: Enter debits before credits Date General Journal Debit Credit Jan 4 explanation Record entry Clear entry View generala Exercise 15-4 Accounting for available-for-sale debt securities LO P3 Prepare Krum Co.'s journal entries to record the following transactions involving its short-term investments in available-for-sale debt securities, all of which occurred during the current year. a. On August 1, paid $50,000 cash to purchase Houtte's 9%, six-month debt securities ($50,000 principal), dated August 1 b. On October 30, received a check from Houtte for 90 days' interest on the debt securities in transaction a. (Use 360 days in a year. Do not round your intermediate calculations.) View transaction list Journal entry worksheet 1 2 On August 1, paid $50,000 cash to purchase Houtte's 9%, six-month debt securities ($50,000 principal), dated August 1. Note: Enter debits before credits Transaction General Journal Debit Credit Record entry Clear entry View general journal counting for available-for-sale debt securities LO P3 Prepare Krum Co's journal entries to record the following transactions involving its short-term investments in available-for-sale debt securities, all of which occurred during the current year. a. On August 1, paid $50,000 cash to purchase Houtte's 9%, six-month debt securities ($50,000 principal). dated August 1. b. On October 30, received a check from Houtte for 90 days interest on the debt securities in transaction a. (Use 360 days in a year. Do not round your intermediate calculations.) View transaction list Journal entry worksheet The following information applies to the questions displayed below) On December 31, Reggit Company held the following short-term investments in its portfolio of available for sale debt securities, Reggit had no short-term investments in its prior accounting periods. Available for Sale Securities Verrizano Corporation bonds Preble Corporation notes Lucerne Company bonds Cost $89.500 70,600 86,500 Fair Value $91,600 62,900 83, 109 OS 15-9 Adjusting available-for-sale debt securities to falr value LO P3 Prepare the December 31 adjusting entry to report these investments at fair value. Complete this question by entering your answers in the tabs below. Fair Value General Adjustment Journal Prepare the December 31 adjusting entry to report these investments at fair value. View ansaction list Journal entry worksheet Record the year-end adjusting entry for the securities portfolio Biter debit betre credits Doneral Journal Dubit Credit Dec 31 Required information Use the following Information for the Quick Study below. The following information applies to the questions displayed below.) On December 31, Reggit Company held the following short-term investments in its portfolio of available for-sale debt securities. Reggit had no short-term investments in its prior accounting periods. Available for Sale Securities Verrizano Corporation bonds Preble Corporation notes Lucerne Company bonds Cost $89,600 70, 600 86,500 Fair Value $91,660 62,900 83, 100 QS 15-10 Reporting available-for-sale securities on fina cial statements LO P3 (a) After the fair value adjustment is made prepare the assets section of Reggit Company's December 31 classified balance sheet. (b) is the unrealized gain (or loss) on the portfolio of available for sale securities reported on the income statement? Complete this question by entering your answers in the tabs below. Required A Required After the fair value adjustment is made, prepare the assets section of Reggit Company's December 31 classified balance sheet. (Amounts to be deducted should be indicated with a minus sign) REGGIT COMPANY Assets Section of Balance Sheet December 31 Assets Required information Use the following Information for the Quick Study below. The following information applies to the questions displayed below) On December 31, Reggit Company held the following short-term investments in its portfolio of available-for-sale debt securities. Reggit had no short-term investments in its prior accounting periods. Available for Sale Securities Verrizano Corporation bonds Preble Corporation notes Lucerne Company bonds Cost $89,600 70, 600 86,500 Fair Value $91,600 62,900 83, 100 BOK QS 15-10 Reporting avallable-for-sale securities on financial statements LO P3 int (a) After the fair value adjustment is made, prepare the assets section of Reggit Company's December 31 classified balance sheet. (b) is the unrealized gain (or loss) on the portfolio of available for sale securities reported on the income statement? Complete this question by entering your answers in the tabs below. Required A Required Is the unrealized gain (or loss) on the portfolio of available for sale securities reported on the income statement? La travel fod gan for kans on the poinfokio et available for sale securities rented on the income statement?