Some of Grand Junction Corporation’s investment securities are classified as trading securities and some are classified as available-for-sale. The cost and market value of each category at December 31, 2011, was as follows.
|
Cost |
Fair Value |
Unrealized Gain (Loss) |
|
|
Trading securities |
96,300 |
84,900 |
(11,400) |
|
Available-for-sale securities |
59,000 |
63,200 |
4,200 |
At December 31, 2010, the Market Adjustment-Trading account had a debit balance of $2,200, and the Market Adjustment-Available-for-Sale account had a credit balance of $7,750.
Prepare the required journal entries for each group of securities for December 31, 2011.