Stoll Co.'s long-term available-for-sale portfolio at December 31, 2014, consists of the following.
Available-for-Sale Securities Cost Fair VAlue
40,000 shares of Company A common stock $535,300 $490,000
7,000 shares of Company B common stock 159,380 154,000
17,500 shares of Company C common stock 662,750 640,938
Stoll enters into the following long-term investment transactions during year 2015.
Jan. 29 Sold shares of Company B common stock for $79,188 less a brokerage fee of $1,500
Apr. 17 Purchased 10,000 shares of Company W common stock for $197,500 plus a brokerage fee of $2,400. The shares represent a 19% ownership in Company W.
July 6 Purchased 4,500 shares of Company X common stock for $126,562 plus a brokerage fee of $1,750. The shares represent 10% ownership in Company X.
Aug. 22 Purchased 50000 shares of Company Y common stock for $375,000 plus a brokerage fee of $1,200.The shares represent a 11% ownership in Company Y.
Nov. 13 Purchased 8,500 shares of Company Z common stock for $267,900 plus a brokerage fee of $2,450. The shares represent a 5% ownership of Company Z.
Dec. 9 Sold 40,000 shares of Company A common stock for $515,000 less a brokerage fee of $4,100
The fair values of its investments at December 31, 2015, are:
Fair Value
B $81,375
C $610,312
W $191,250
X $118,125
Y $531,250
Z $278,800
Determine the amount Stoll should report on its December 31, 2015, balance sheet for its long-term investments in available-for-sale securities and prepare any necessary December 31, 2015, adjusting entry to record the fair value adjustment for the long-term investments in available-for-sale securities.