The Balance in the Unrealized Gains and Losses on Available-For-Sale

question 131

Multiple Choice

The balance in the Unrealized Gains and Losses on Available-for-sale Securities account appear in which financial statement?

• A) The balance sheet as a contra asset account.
• B) The income statement under Other Expenses and Losses.
• C) The balance sheet, as part of the stockholders' equity section.
• D) Not shown on the financial statements until the securities are sold.

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Definitions:

Federal Unemployment Taxes

Taxes paid by employers based on employee wages/salaries to fund unemployment compensation to workers who have lost their jobs.

Medical Insurance

Health care insurance for which premiums may be paid through a deduction from an employee’s paycheck.

State Income Tax

Taxes levied on income by individual states, varying widely in rate and structure from state to state.

Social Security

A government program that provides financial assistance to people with insufficient or no income, especially the elderly, disabled, and families with dependent children.