Question: During 2014, Rex Company purchased marketable equity securities as a short-term investment. These securities are classified as available for sale. The cost and fair values at December 31, 2014, follow:
Rex sold 1,000 shares of Company B stock on January 31, 2015, for $15 per share, incurring $1,500 in brokerage commission and transaction taxes.
Required: 1. Ignoring income taxes, how much should Rex report as unrealized gain or loss on its available-for-sale securities at December 31, 2014, in the statement of stockholders' equity?
2. On the sale, Rex should report a realized loss of how much?