On March 17, 2009, Union Corporation purchased 5,000 shares of AZQ common stock as a long-term investment at $40 per share. On December 31, 2009, and December 31, 2010, the market value of the AZQ stock is $42 and $43, respectively.
Required:
(1.) What is the appropriate reporting category for this stock? Why?
(2.) Prepare the adjusting entry on December 31, 2009.
(3.) Prepare the adjusting entry on December 31, 2010.

Question

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The Answer of On March 17, 2009, Union Corporation purchased 5,000 shares of AZQ common stock as a long-term investment at $40 per share. On December 31, 2009, and December 31, 2010, the market value of the AZQ stock is $42 and $43, respectively.
Required:
(1.) What is the appropriate reporting category for this stock? Why?
(2.) Prepare the adjusting entry on December 31, 2009.
(3.) Prepare the adjusting entry on December 31, 2010.

On March 17, 2009, Union Corporation Purchased 5,000 Shares of AZQ