At December 31, 2014, the trading securities for Mayfair, Inc. are as follows: Mayfair should report the following amount related to the securities in its 2014 income statement:

Question

At December 31, 2014, the trading securities for Mayfair, Inc. are as follows:  Mayfair should report the following amount related to the securities in its 2014 income statement:

Quizplus · Accepted Answer

At December 31, 2014, the fair value of the trading securities is $53,000 ($60,000 - $7,000). Since the fair value is less than the cost, there is an unrealized loss of $7,000 that should be reported on the income statement.

At December 31, 2014, the Trading Securities for Mayfair, Inc