Marco Insurance Marco Insurance acquired shares of Penny Systems' common stock on December 28, 2013, for $400,000 and classified them as trading securities.The fair value of these securities on December 31, 2013, was $402,000.Marco Insurance sold these shares on January 3, 2014, for $405,000.
(Refer to the Marco Insurance) The journal entries to measure trading securities at fair value and recognize unrealized holding gain in net income on December 31, 2013.
A) Cash..................2,000
Marketable Securities...............2,000
B) Other Comprehensive Income.................2,000
Marketable Securities................2,000
C) Marketable Securities............2,000
Other Comprehensive Income...........2,000
D) Marketable Securities...........2,000
Unrealized Holding Gain on Trading Securities.............2,000
E) Marketable Securities................2,000
Realized Holding Gain on Trading Securities..............2,000
Correct Answer:
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