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At December 31, 2014, Jantzen Corp

Question 139

Multiple Choice

At December 31, 2014, Jantzen Corp. had the following trading securities purchased during 2014, its first year of operation: At December 31, 2014, Jantzen Corp. had the following trading securities purchased during 2014, its first year of operation:   How will the fair value adjustments for 2014 impact the year's net income? A)  an unrealized holding loss will decrease net income by CHF200,000. B)  an unrealized holding gain will increase net income by CHF50,000. C)  an unrealized holding loss will decrease net income by CHF150,000. D)  unrealized holding gains and losses on trading securities do not impact net income. How will the fair value adjustments for 2014 impact the year's net income?


A) an unrealized holding loss will decrease net income by CHF200,000.
B) an unrealized holding gain will increase net income by CHF50,000.
C) an unrealized holding loss will decrease net income by CHF150,000.
D) unrealized holding gains and losses on trading securities do not impact net income.

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