While reviewing the March 31, 2016, balance sheet of Business Solutions, Santana Rey notes that the business has built a large cash balance of $68,060. Its most recent bank money market statement shows that the funds are earning an annualized return of 0.50%. S. Rey decides to make several investments with the desire to earn a higher return on the idle cash balance. Accordingly, in April 2016, Business Solutions makes the following investments in trading securities:

April 16	Purchases 510 shares of Johnson & Johnson stock at $44 per share plus a $420 commission.
April 30	Purchases 300 shares of Starbucks Corporation at $29 per share plus a $220 commission.

On June 30, 2016, the per share market price (fair value) of the Johnson & Johnson shares is $49 and the Starbucks shares is $26.

Required:
1.	Prepare journal entries to record the April purchases of trading securities by Business Solutions.

A) Record the short-term investment in 300 shares of Starbucks Corporation at $29 per share plus the brokers fee of $220 on April 30, 2016.

B) Record the short-term investment in 510 shares of Johnson and Johnson at $44 per share plus the brokers fee of $420 on April 16, 2016.

2.	On June 30, 2016, prepare the adjusting entry to record any necessary fair value adjustment to its portfolio of trading securities.

A) Record the adjusting entry for the securities portfolio as of June 30, 2016