Available for sale securities

the use of a ___ account to record the changes in the fair values of the securities allows a company to retain information about the amortized cost of each security that will be used to compute the realized gain or loss on the sale of a security

allowance

allowance for change in fair value of investments is a ___ account

contra (to the investment acct)

A ___ balance in the allowance account represents a decrease in fair value below the amortized cost of the investment (an unrealized holding loss)

credit

A credit balance in the account represents the ___ and it is reported as a

cumulative net unrealized holding gains, positive ele- ment in the accumulated other comprehensive income section of shareholders' equity

A debit balance in the account represents the ___ and it is reported as a

cumulative net unrealized holding losses, negative element in the accumulated other comprehensive income section of shareholders' equity

A ___ balance in the allowance account represents an increase in fair value above the amortized cost of the investment (an unrealized holding gain)

debit

The use of an allowance account allows the company to report the investment at ___ while maintaining a record of the amortized cost of the investment.

fair value

On its balance sheet, a company reports any investments in available-for-sale securities at ___ through ___

fair value, allowance for change in fair value of investments

available-for-sale securities, a company reports the realized gains and losses in ___ but reports unrealized gains and losses in

net income, other comprehensive income

a debit change in this account represents the

net unrealized holding losses on securities for the period

For available-for-sale securities, a credit change in the Unrealized Holding Gain/Loss account represents the

net unrealized holdings gain on the securities for the period

The company reports any unrealized holding gains and losses in

other comprehensive income