On December 31, 2010, Available-For-Sale Securities with an Original Cost

question 28

Essay

On December 31, 2010, available-for-sale securities with an original cost of $10,000 have a carrying value on the balance sheet equal to their market value of $12,000. On January 5, 2011, those securities are sold for $11,000. Give the appropriate entry to record the sale of the available-for-sale securities.

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Definitions:

Stimulus Motives

Motives that cause humans and other animals to increase stimulation when the level of arousal is too low (examples are curiosity and the motive to explore).

Exploratory Motives

The drive behind individuals' desire to explore, investigate, and learn about their environment or new ideas.

Job Performance

The degree to which an employee successfully fulfills the tasks, duties, and responsibilities of their job.

Productivity

relates to the efficiency and effectiveness with which inputs are converted into outputs, often measured in terms of output per unit of input in an economic or workplace context.