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Evgesh-ka [11]
2 years ago
13

On October 12, 2006, Lowell Corporation invested $600,000 in short-term available-for-sale marketable securities. The market val

ue of this investment was $660,000 at December 31, 2006, but had slipped to $655,000 by December 31, 2007. 27. Refer to the above data. In financial statements prepared on December 31, 2006, Lowell Corporation reports: A) The asset Investments in Marketable Securities at $600,000, and a $60,000 Unrealized Holding Gain included in total stockholders' equity. B) The asset Investments in Marketable Securities at $660,000, and a $60,000 gain recognized in the income statement. C) The asset Investments in Marketable Securities at $600,000 with footnote disclosure of the market value of $660,000. D) The asset Investments in Marketable Securities at $660,000, and a $60,000 Unrealized Holding Gain included in total stockholders' equity.
Business
1 answer:
gavmur [86]2 years ago
6 0

Answer:

option D

Explanation:

In financial statements In balance sheet short term investment available for sale of securities should be reported on fair value of investment and unrealized gain or loss should be included in stockholder's equity.

so in this question 660,000 should be reported as asset investment in marketable securities and (660000-600000) = 60000 unrealized gain should be reported in stockholder's equity.

The asset Investments in Marketable Securities at $660,000, and a $60,000 Unrealized Holding Gain included in total stockholders' equity

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Answer:

c. $229

Explanation:

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C= 99+55+25+\frac{200,000}{4,000}\\ C= \$229

The production cost per unit is $229

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3 years ago
Suppose there are two economies, Alpha and Beta, which have the same production possibilities curves and are on the same point o
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Explanation:

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4 0
2 years ago
Barry’s expectation that employees will complete his requests immediately is typical of —— leaders.
goldenfox [79]

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2 years ago
Stock holders make money investing in stocks in all of the following ways excep what
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Answer: There are two ways to make money from owning shares of stock: dividends and capital appreciation. Dividends are cash distributions of company profits

3 0
2 years ago
Taylor Entertainment Center has 5 TVs on hand at the balance sheet date that cost $400 each. The net realiz- able value is $350
faltersainse [42]

Answer:

Under the lower-of-cost-or- net realizable value basis of accounting for inventories, the value that Taylor should report for the TVs on the balance sheet is $350 × 5 = $1,750

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3 years ago
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