During 2006, Cosby Corporation held a portfolio of available-for-sale securities having a cost   of $260,000. There were no purchases or sales of investments during the year. The market values after adjusting for the impact of taxes, at the beginning and end of the year, were $200,000 and  240,000, respectively. The net income for 2006 was $145,000, and no dividends were paid dur- ing the year. The Stockholders' Equity section of the balance sheet was as follows on December 31, 2005:

Cosby Corporation Stockholders' Equity December 31, 2005

Common  stock                                                  $  35,000

Paid-in capital in excess of par  value                    350,000

Retained earnings                                               435,000

Accumulated  other  comprehensive loss               (60,000)

Total                                                                 $760,000

a. Prepare a statement of comprehensive income for 2006.

b. Prepare the Stockholders' Equity section of the balance sheet for December 31, 2006.