Your answer is correct.

Determine the balance in accumulated other comprehensive income on the statement of financial position on each of December

$31,2023,2024,$ and $2025.($Enter negative amount using either a negative sign preceding the number e$.$g$.-45$ or parentheses e$.$g$.(45).)$ Assume that Whispering Winds sold its investment in Fahad on February $13,2026,$ for $$41,700.$ Prepare the journal entries

needed, including reclassifying holding gains or losses to retained earnings on this date, assuming the investments are in shares

and no recycling to net income is recorded. $($Credit account titles are automatically indented when the amount is entered. Do not indent

manually. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts. List all debit entries before credit

entries.$)$

Date

Account Titles and Explanation

Debit

Credit

Feb. $13,2026$

$($To adjust to fair value at date of disposal$)$

Feb. $13,$

$2026$

$($To record disposal$)$

Feb. $13,$

$2026$

$($To reclassify holding loss$)$ Whispering Winds Corp. gave you the following information about its investment in Fahad Corp. shares purchased in May $2023$ and

accounted for using the FV$-$OCI method:

Cost

Fair value, December $31,2023$

Fair value, December $31,2024$

Fair value, December $31,2025$

$$43,600$

$$48,250$

$$31,000$

$$37,250$

$($a$)$

Your answer is correct.

Prepare the adjusting journal entries needed on December $31,2023,2024,$ and $2025.($Credit account titles are automatically

indented when the amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for

the amounts. Record entries in the order displayed in the problem statement. List all debit entries before credit entries.$)$

Date

$31,2023$

$31,2024$

$31,2024$

Account Titles and Explanation

FV$-$OCl Investments

Unrealized Gain or Loss $-$ OCl

Unrealized Gain or Loss $-$ OCl

FV $-$OCl Investments

FV $-$OCl Investments

Unrealized Gain or Loss $-$ OCl

Debit

Credit