The Plutonium Company has a bond investment classified as held-to-maturity, which has a carrying value of $62,000 and a fair value of $24,000. The decline in value is considered as other than temporary. What entry should Plutonium make to record the decline in value?

A) Unrealized Loss on Value Decline 38,000Allowance for Change in FairValue of Investment 38,000
B) Investment in Held-to-Maturity Securities 38,000Realized Loss on Decline in Value 38,000
C) Realized Loss on Decline in Value 38,000Investment in Held-to-Maturity Securities 38,000
D) Unrealized Loss on Value Decline 38,000Investment in Held-to-Maturity Securities 38,000


C

Business

You might also like to view...

Connecting various links to a corporation's online personality can be accomplished using what?

A) Social media B) A central hub C) LinkedIn D) A specific media personality E) User generated content

Business

Kerry conducts meetings in a way that strongly influences the alternatives considered when making important decisions. Kerry's behavior reflects the political strategy of

A. controlling the agenda. B. being in a central position. C. making oneself irreplaceable. D. relying on objective information. E. forming alliances.

Business

Which account that does not appear on the balance sheet has an amount in the Balance Sheet columns of a work sheet?

a. Dividends b. Depreciation Expense c. Retained Earnings d. Accumulated Depreciation–Equipment

Business

According to the text, information transmitted through grapevines is often ______.

A. noise and misinformation B. rumor and gossip C. truth and policy D. important and strategic

Business