Answer:
The answer is B.
Explanation:
Available-for-sale is an equity or debt instrument that is not held to maturity. They are held for the purposes of trading or selling before its maturity. Businesses look for active buyers. They are being reported at their fair value.
If the fair value of this security (available-for-sale instrument) increases, the carrying amount is debited and changes in fair value in shareholders' equity is credited. If the fair value of the investments decreases, the carrying amount is debited and changes in fair value in shareholders' equity is debited.
Therefore, the loss of $2,000 is an adjustment in stockholders' equity on the balance sheet.
The answer would be A, command economy
