Hi, can someone please help me out with the following? I am not understanding why the answer is $30k decrease

An available-for-sale market equity security costing $75,000 was written down to $30,000 in 1994, had a $60,000 fair value on Dec 31, 1995.

What is the net effect of the item on the company's valuation allowance for available-for-sale marketable equity security as of Dec 31, 1995?

Thanks in advance!

The answer per Becker is calculated as follow:

$75k (cost) -30k (FV in 1994) = $45k decrease in valuation account

$60k (FV in 1995) -75k (cost) = 15k increase in valuation account in 1995, thus the net change for both years in the account is $30k decrease.

But I thought in 1995, you would take the difference between its fair value $60k and $30k (FV in 1994) which gives you $30k increase

and the net of $45k decrease and $30k increase would be a $15k decrease in the account.

apple123, I am thinking that it should be 15k decrease as well; if I remember correctly I worked out a similar question like this just last night :/

Anyone with a good explanation for the 30k would be well appreciated!