Rose Company had no short$-$term investments prior to this year. It had the following transactions this year involving shortterm stock investments with insignificant influence.The year$-$end fair values per share are Gem Company, $$24\mathrm{.}00$; PepsiCo, $$46\mathrm{.}25$; and Xerox, $$15\mathrm{.}00.$

Required:

Prepare journal entries to record the preceding transactions and events.

Journal entry worksheet

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Purchased $10,000$ shares of Gem Company stock at $$21\mathrm{.}75$ per share.

Note: Enter debits before credits.

$\backslash$table$[[$Date$,$General Journal,Debit,Credit$],[$April $16,,,],[,,,]]$

Prepare a table to compare the year$-$end cost and fair values of Rose's short$-$term stock investments.

$\backslash$table$[[$Comparison of Cost and Fair Values for Stock Investments Portfolio at Year$-$End$],[,$Cost,Fair Value,$\backslash$table$[[$Unrealized$],[$Amount$]]],[$Gem Company,$],[$PepsiCo$,],[$Xerox$,],[$Total$,,,]]$

Prepare an adjusting entry to record the year$-$end fair value adjustment for the portfolio of short$-$term stock investments.

Journal entry worksheet

$1$

Record the year$-$end adjusting entry for the securities portfolio.

Note: Enter debits before credits.

$\backslash$table$[[$Date$,$General Journal,Debit,Credit$],[$December $31,,,],[,,,]]$