Your answer is correct.

Prepare the entry for the security sale on January $15,2026.($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.$)$

Date

Account Titles and Explanation

Debit

Credit

Jan. $15,2026$

Cash

Equity Investments

Gain on Sale of Investments Your answer is incorrect.

Prepare the journal entry to record the security purchase on April $17,2026.($List debit entry before credit entry. 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 $0$ for the amounts.$)$

Date

Account Titles and Explanation

Debit

Credit

Apr. $17,2026$

Cash $($c$)$

Compute the unrealized gains or losses as of December $31,2026.$

Unrealized

$

Prepare the adjusting entry for Swifty on December $31,2026.($List debit entry before credit entry. 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.$)$

Date

Account Titles and Explanation

Debit

Credit

Dec. $31,2026$

eTextbook and Media

List of AccountsCurrent Attempt in Progress

Swifty Company has the following securities in its investment portfolio on December $31,2025($all securities were purchased in $2025)$: $(1)3,100$ shares of Anderson Co$.$ common stock which cost $$55,800,$

$(2)10,200$ shares of Munter Ltd$.$ common stock which cost $$581,400,$ and $(3)5,600$ shares of King Company preferred stock which cost $$235,200.$ The Fair Value Adjustment account shows a credit of

$$10,900$ at the end of $2025.$

In $2026,$ Swifty completed the following securities transactions.

On January $15,$ sold $3,100$ shares of Anderson's common stock at $$23$ per share less fees of $$2,270.$

On April $17,$ purchased $1,000$ shares of Castle's common stock at $$33\mathrm{.}00$ per share plus fees of $$1,870.$

On December $31,2026,$ the market prices per share of these securities were Munter $$61,$ King $$40,$ and Castle $$21.$ In addition, the accounting supervisor of Swifty told you that, even though all these

securities have readily determinable fair values, Swifty will not actively trade these securities because the top management intends to hold them for more than one year.