On its December 31, 2007 balance sheet, Klugman Company appropriately reported a $10,000 debit balance in its Securities Fair Value Adjustment (Available-for-Sale) account. There was no change during 2008 in the composition of Klugman's portfolio of marketable equity securities held as available-for-sale securities. The following information pertains to that portfolio:
1. What amount of unrealized loss on these securities should be included in Klugman's stockholders' equity section of the balance sheet at December 31, 2008?
A) $30,000.
B) $20,000.
C) $10,000.
D) $0.
2. The amount of unrealized loss to appear as a component of comprehensive income for the year ending December 31, 2008 is
A) $30,000.
B) $20,000.
C) $10,000.
D) $0.