On December 31, 2017, short-term equity securities with an original cost of $45,000 have a market value of $47,000. On January 11, 2018, those securities are sold for $51,000. Determine the gains or losses in 2017 and 2018 associated with these securities, which are held as a passive investment. Clearly label whether the gains or losses are realized or unrealized. Name the financial statement on which each is reported.

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The Answer of On December 31, 2017, short-term equity securities with an original cost of $45,000 have a market value of $47,000. On January 11, 2018, those securities are sold for $51,000. Determine the gains or losses in 2017 and 2018 associated with these securities, which are held as a passive investment. Clearly label whether the gains or losses are realized or unrealized. Name the financial statement on which each is reported.

On December 31, 2017, Short-Term Equity Securities with an Original