Accounting Entries For Derivatives Accounting Derivatives Homework Problem?

Accounting Derivatives Homework Problem? - accounting entries for derivatives

On January 2, 2002, X Co. buys a call option for $ 350 in market shares. Jones option gives you the opportunity to acquire market share to 1000 at an exercise price of $ 50 per share. The market price of a supplier is $ 50 January 2, 2002 (the intrinsic value is $ 0). On March 31, 2002, the market price of the shares of the seller $ 58 per share and the fair value of the option is $ 200.

Prepare journal entries to recognize, changes in the fair value of the option March 31, 2002nd

1. First evidence of a change in the value of time and then the change in intrinsic value.

2. What was the effect on the consolidated results of operations for the period January 2 to March 31, 2002?

1.
An unrealized holding gain or loss of income
Purchase Option
(To make the change in the value of time)

2.
Purchase Option
An unrealized holding gain or loss of income

Can someone tell me how you want / Do you ACCTS're? < br>
In addition, an unrealized holding gain =?