Sandhill Company has these data at December 31, 2022, the end of its first year of operations. Debt Securities Trading Available-for-sale (a) Cost $120,300 (1) 100,100 (2) The available-for-sale securities are held as a long-term investment. Your answer is partially correct. Prepare the adjusting entries to report: (1) Trading securities at fair value and (2) Available-for-sale securities at fair value. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter O for the amounts.) Fair Value No. Account Titles and Explanation Fair Value Adjustment-Trading Unrealized Gain or Loss-Income $125,000 97,500 Unrealized Gain or Loss-Income Unrealized Gain or Loss-Income Debit 100100 Credit 3900 96260 4700

Sandhill Company has these data at December 31,2022 , the end of its first year of operations. The available-for-sale securities are held as a long-term investment. (a) 1 Prepare the adjusting entries to report: (1) Trading securities at fair value and (2) Available-for-sale securities at fair value. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter O for the amounts.)