The account Unrealized Gain (Loss) on Trading Securities should be included in the
A) Income statement as Other Revenue (Expenses)
B) Balance sheet as an adjustment to the asset account
C) Balance sheet as an adjustment to Stockholders' Equity
D) Statement of Retained Earnings

Question

Quizplus · Accepted Answer

Unrealized gains and losses on trading securities are reported on the income statement as part of other revenues and expenses because they reflect changes in the fair value of securities that are intended to be sold in the near term.

The Account Unrealized Gain (Loss) on Trading Securities Should Be