Common Entry Of Trading Financial Assets

1. When acquiring financial paction assets,

Borrowing: paction financial assets - cost (fair value, interest not included in the price paid, but not yet received or cash dividends declared but not yet paid).

Investment income (paction costs)

Dividends receivable (cash dividends declared but not yet paid)

Interest receivable (interest not received during the period of interest payment).

Loan: bank deposit (the amount actually paid)

2. When holding trading financial assets, the investment entity announces cash dividends or calculates interest on the balance sheet date at the coupon rate of bonds.

Borrower: dividends payable

Interest receivable

Loan: investment income

3. Receive

Borrow: bank deposit

Loan:

Interest receivable

4. On the balance sheet date, the fair value of trading financial assets is higher than the balance of the book balance.

Borrowing: pactional financial assets - fair value changes (fair value is higher than book balance).

Loan: profit and loss of fair value change

The difference between fair value and its book balance.

Borrower: changes in fair value

Loan: pactional financial asset - fair value change (fair value is below its value).

5. When trading financial assets are sold, the amount actually received shall be paid according to the actual amount.

Borrow: bank deposit (actual amount received)

Investment gains (disposal losses)

Transactional financial assets - changes in fair value (the difference between fair value and book balance).

Loan: paction financial assets - cost

Transactional financial assets - fair value changes (fair value is higher than book balance).

Investment income (disposal income)

At the same time, according to the original amount of "fair value change" subjects

Borrower: fair value change profit and loss (fair value is higher than book balance).

Loan: investment income

or

Borrowing: investment income

Loan: profit and loss of fair value change (fair value below book balance).