On December 31, 2014, Dunston Co. has the following investments that are classified as available-for-sale securities:

Investments

Cost

Fair Value

Shawon Co.

$40,000

$35,000

Cihla Co.

38,000

39,000

The amount of the unrealized gain or loss would be reported on the income statement as a:

a. $5,000 unrealized loss.

b. $4,000 unrealized loss.

c. $1,000 unrealized gain.

d. No unrealized loss or gain is reported on the income statement.