The following information was taken from the 2014 annual report of Orleans Enterprises:

Related footnote: The 2014 and 2013 balances in the trading securities account consist of 1,600 and 1,800 equity shares of Atwater Company, respectively. During 2014, in the only transaction related to these securities, 200 shares were sold for $15.50 each.

REQUIRED:
a. Compute the 2014 income effect related to the company’s investment in Atwater. Divide the effect into its realized and unrealized components.
b. Repeat (a), assuming that the securities were classified as available-for-sale and that Orleans’s first investment in these securities occurred on December 31,2013.

Transcribed Image Text:

2014 2013 Trading securities $25,440 $27,000