Eaton Company had the following long-term available-for-sale securities in its portfolio at December 31,Year 1.Eaton had several long-term investment transactions during the next year.After analyzing the effects of each transaction,(1)determine the amount Eaton should report on its December 31,Year 1 balance sheet for its long-term investments in available-for-sale securities,(2)determine the amount Eaton should report on its December 31,Year 2 balance sheet for its long-term investments in available-for-sale securities,(3)prepare the necessary adjusting entry to record the fair value adjustment at December 31,Year 2.
Definitions:
Adjusted Cash Balance
The cash amount shown in a company's bank statement, adjusted for deposits in transit, outstanding checks, and bank errors.
Check Register
A personal record book or a digital log used to track checks written, deposits made, and current balance of a checking account.
Bank Statement
A document or electronic file provided by a bank summarizing transactions in an account over a certain period.
Outstanding Deposit
Refers to funds that have been deposited in a bank account but have not yet been credited or made available for use.
Q10: Intra-company analysis is based on comparisons with
Q42: Equity securities reflect a creditor relationship such
Q45: Use the following information to calculate cash
Q55: A company's Inventory balance at 12/31/13 was
Q78: Limited liability partnerships are designed to protect
Q98: Return on equity increases when the expected
Q118: Paid-in capital is the total amount of
Q127: A company issued 60 shares of $100
Q130: A financial statement analysis report:<br>A)Enables readers to
Q176: On January 1,a company issued a $500,000,10%,8-year