A Company Had Investments in Long-Term Available-For-Sale Securities B) C)

Multiple Choice

A company had investments in long-term available-for-sale securities.At the end of the current year the company's portfolio had a $162,000 cost and $164,000 market value.
What is the current year's adjustment to market value given the following account balances at the end of the prior year?

A)
$\begin{array}{|c|l|l|}\hline \text { Market Adjustment - Available-for-Sale} & 2,000 & \\\hline \text { Unrealized Gain Equity } & & 2,000 \\\hline\end{array}$

B)
$\begin{array}{|c|l|l|}\hline \text { Market Adjustment - Available-for-Sale............... } & 1,000 & \\\hline \text { Unrealized Gain Equity...................................... } & & 1,000 \\\hline\end{array}$

C)
$\begin{array}{|l|l|l|}\hline \text { Unrealized Gain Equity........................................................... } & 1,000 & \\\hline \text { Market Adjustment - Available-for-Sale..... }& & 1,000 \\\hline\end{array}$

D)
$\begin{array}{|c|l|l|}\hline \text { Unrealized Gain Equity.......................................................... } &2,000 & \\\hline \text { Market Adjustment - Available-for-Sale.... } & & 2,000 \\\hline\end{array}$

E)
$\begin{array}{|r|l|l|}\hline \text { Unrealized Gain Equity........................................................... } & 3,000 & \\\hline \text { Market Adjustment - Available-for-Sale..... } && 3,000 \\\hline\end{array}$