1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
slava [35]
3 years ago
9

At December 31, 2018, Atlanta Company has an equity portfolio valued at $160,000. Its cost was $132,000. If the Securities Fair

Value Adjustment has a debit balance of $8,000, which of the following journal entries is required at December 31, 2018?
Select one:
a. Fair Value Adjustment 28,000 Unrealized Holding Gain or Loss-Income 28,000
b. Unrealized Holding Gain or Loss-Income 20,000 Fair Value Adjustment 20,000
c. Unrealized Holding Gain or Loss-Income 28,000 Fair Value Adjustment 28,000
d. Fair Value Adjustment 20,000 Unrealized Holding Gain or Loss-Income 20,000
Business
1 answer:
Anna71 [15]3 years ago
8 0

Answer:

a. Fair Value Adjustment 28,000 Unrealized Holding Gain or Loss-Income 28,000

Explanation:

The journal entry is as follows

On December 31, 2018

Fair Value Adjustment A/c Dr

          To Unrealized Holding Gain or Loss-Income A/c

(Being the unrealized holding gain or loss is recorded)

The computation is shown below:

= Valued of an equity portfolio - cost -  debit balance of securities fair value

= $160,000 - $132,000 - $8,000

= $20,000

You might be interested in
Capital brought into a business in exchange for a percent of ownership in the business is called
neonofarm [45]

Answer:

D: Equity financing

Explanation:

Equity is ownership in the business - equity financing means giving up ownership in order to secure financing.

3 0
3 years ago
First, find if a country's RGDP grows on average at 3% per year, how long will it take for this country to double its RGDP. If,
sasho [114]

Answer:

At the growth rate of 3% per year

Number of years taken to double the GDP = 23.33 years

The the GDP will double ( 23.33 - 20 ) 3.33 years earlier at 3.5% growth rate

Explanation:

According to the rule of 70

Number of years taken to double the GDP = 70 ÷ [ Growth rate ]

Thus,

At the growth rate of 3% per year

Number of years taken to double the GDP = 70 ÷ 3

= 23.33 years

Further

if the growth rate is 3.5% per year

Number of years taken to double the GDP = 70 ÷ 3.5

= 20 years

Hence,

The the GDP will double ( 23.33 - 20 ) 3.33 years earlier at 3.5% growth rate

6 0
3 years ago
Predatory pricing refers to a. All of the above are examples of predatory pricing. b. a firm selling certain products together r
mina [271]

Answer:

d. a monopoly firm reducing its price in an attempt to maintain its monopoly.

Explanation:

In a competitive system, a firm practices predatory pricing when it charges prices below its costs in order to eliminate competitors. When the prevailing system is a monopoly, the firm is the only company providing the good and it can practice predatory pricing in the short term to prevent a competitor from entering the market. Thus the firm remains monopolistic.

8 0
3 years ago
Checking account A charges a monthly service fee of $20 and a wire transfer fee of $3, while checking account B charges a monthl
natali 33 [55]
 the answer should be  
D. 10 
3 0
3 years ago
Read 2 more answers
If the variable costs of producing two books are $100, what is the marginal cost of producing one more book?
Ierofanga [76]

Answer:Hi Martina, okie anyway Im taking the test rn too I just answered Tanya, its $25

Explanation:

1 book= 50

2 books= 100

100-50=50

Then 50/2=25

3 0
3 years ago
Other questions:
  • How to find out how much your social security will be?
    13·1 answer
  • The three (3) key components in creating a financial plan are: Select one: a. The sales forecast, proforma financial statement a
    12·1 answer
  • Year-to-date, Oracle had earned a −1.53 percent return. During the same time period, Valero Energy earned 8.07 percent and McDon
    5·1 answer
  • Suppose the economy is initially operating well below capacity. In this​ case, an expansionary macroeconomic policy will result
    15·1 answer
  • Assume that the current price of a stock is $80 and that 1 year from now the stock will be worth either $90 or $75. The exercise
    12·1 answer
  • What is one key difference between payday loans and title loans?
    6·1 answer
  • Based on your understanding of the relationship between relative inflation rates and exchange rates, identify whether the preced
    14·1 answer
  • Creating, developing, retaining, and obtaining products and services that meet consumer needs is called _____.
    10·1 answer
  • Which person would need the least amount of collision coverage from their auto insurance?
    12·1 answer
  • Company k incurs a $22,000 deductible expense. compute the current year tax savings from the deduction assuming that:_________
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!