if-the-market-value-of-an-afs-security-increases-from-20000-to-25000-what-is-the

Question

If the market value of an AFS security increases from $$20,000 to 25$$,000, what is the journal entry for the unrealized gain?

Accepted Answer

Debit Investment in AFS Securities $$5,000; Credit Unrealized Gain on AFS Securities 5$$,000

Answer

Debit Unrealized Gain on AFS Securities $$5,000; Credit Investment in AFS Securities 5$$,000

Answer

Debit Cash $$5,000; Credit Investment in AFS Securities 5$$,000

Answer

Debit Investment in AFS Securities $$25,000; Credit Unrealized Gain on AFS Securities 25$$,000

If the market value of an AFS security increases from \$20,000 to \$25,000, what is the journal entry for the unrealized gain?