Beresford Incorporated purchased several investments in debt securities during 2023, its first year of operations. The following informationpertains to these securities. The fluctuations in their fair values are not considered permanent.Held-to-Maturity Securities:ABC Company BondsTrading Securities:DEF Company BondsGEH Incorporated Bonds.IJK Incorporated BondsAvailable-for-Sale Securities:LMN Company BondsAmortizedCost12/31/2023$ 386,500CostMultiple ChoiceFair Value Fair Value12/31/2023$ 394,000Fair Value12/31/2023$ 64,000$ 66,000$ 63,000Fair Value12/31/202312/31/2024$ 419,000Fair Value12/31/2024$ 75,000$ 96,000$57,500Fair Value12/31/2024Cost$ 161,400 $ 174,200 $ 159,000$ 80,800$ 58,000$ 51,900AmortizedCost12/31/2024$ 379,000What would be the balance in Beresford's accumulated other comprehensive income with respect to these investments in its 12/31/2024balance sheet (gnore taxes)?Subr What would be the balance in Beresford's accumulated other comprehensive income with respect to these investments in its 12/31/2024balance sheet (ignore taxes)?Multiple Choice$593,200O $20.300O $15,200None of these answer choices are correct.

In this question we need to compute balance in accumulated comprehensive income e.

What would be the balance in Beresford's accumulated other comprehensive income with respect to these investments in its 12/31/2024 balance sheet (ignore taxes)? Multiple Choice O $593.200 $20,300 O $15.200 None of these answer choices are correct

What would be the balance in Beresford's accumulated other comprehensive income with respect to these investments in its 12/31/2024 balance sheet (ignore taxes)? Multiple Choice O $593.200 $20,300 O $15.200 None of these answer choices are correct

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter13: Investments And Long-term Receivables

Section: Chapter Questions

Problem 2MC: During 2021, Anthony Company purchased debt securities as a long-term investment and classified them...

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Presented below is selected information related to the financial instruments of Novak Company at December 31, 2025. This is Novak Company's first year of operations. Carrying Amount Fair Value (at December 31) Investment in debt securities (intent is to hold to maturity) $42,600 $43,500 Investment in Chen Company stock 737,000 856,500 Bonds payable 241,500 217,100 (a) Novak elects to use the fair value option for these investments. Assuming that Novak's net income is $108,000 in 2025 before reporting any securities gains or losses, determine Novak's net income for 2025. Assume that the difference between the carrying value and fair value is due to credit deterioration. Novak's net income for 2025 $ 228,400 (b) Record the journal entry, if any, necessary at December 31, 2025, to record the fair value option for the bonds payable. (List debit entry before credit entry. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is…
During 2020, Osgood Corporation purchased several investments in debt securities. 2020 is Osgood's first year of operations. The following information pertains to these securities. The fluctuations in their fair values are not considered permanent. Held-to-Maturity Securities: ABC Co. Bonds Trading Securities: DEF Co. Bonds GEH Inc. Bonds IJK Inc. Bonds Available-for-Sale Securities: LMN Co. Bonds Fair Value Fair Value 12/31/2020 $389,000 Fair Value 12/31/2020 $ 59,000 $ 61,000 $ 58,000 12/31/2021 $414,000 Fair Value 12/31/2021 $ 70,000 $94, 100 $ 52,500 Fair Value Fair Value 12/31/2020 12/31/2021 $153,400 $166, 700 Amortized Cost 12/31/2020 $381, 500 ► Cost $ 75,400 $ 53,000 $ 46,900 Cost $154,000 Amortized Cost 12/31/2021 $374,000 Help Save & Exit What total unrealized holding gain would Osgood report in its 2021 Income statement relative to its investments in bonds? Sub
Use the following information on a company's investments in debt securities to answer the following question. The company's accounting year ends December 31. Investment Date of Acquisition 9/20/23 $38,000 Colt Compan y bonds Cost Fair Value Date Sold Selling 12/31/23 Price $37,000 2/10/24 $42,000 Dana Compan y bonds 10/2/23 14,000 14,200 1/17/24 13,000 If the above investments are categorized as available-for-sale securities, what is the net effect on 2024 other comprehensive income? Select one: a. $ 800 increase b. $0 c. $3,800 increase d. $ 800 decrease
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