Question 2 (Investments â?? Available-for-Sale/Trading Securities)The following information is avail

Question 2 (Investments – Available-for-Sale/Trading Securities)The following information is available for Thompson Company at December 31, 2015, regarding its investments.Securities Cost Fair Value3,000 shares of ABC Corporation Common Stock $40,000 $46,0001,000 shares of HIJ Corporation Preferred Stock $25,000 $22,000$65,000 $68,000a. Prepare the adjusting entry (if any) for 2015, assuming the securities are classified as trading.b. Prepare the adjustment entry (if any) for 2015, assuming the securities are classified as available-for-sale.