On June 30, a business has the following information regarding its long-term investments that qualify as available for sale securities: Cost Market…

1.    On June 30, a business has the following information regarding its long-term investments that qualify as available for sale securities:

Cost                 Market value

ABC Co.               100,000            125,000

XYZ Co.               100,000            90,000

On June 30, the following unadjusted account balances exists:

     Fair value adjustment      $5,000 credit

     Unrealized loss               $5,000 debit

Please help create any necessary journal entries to record the adjustment to fair market value on June 30.