Which of the Following Is Not True Concerning the Accounting

question 48

Multiple Choice

Which of the following is not true concerning the accounting for hedges of forecasted transactions using an option?

• A) An intrinsic value must be calculate throughout the hedge period
• B) The accounting requires revaluing the market value of the option
• C) The option fixes the value of the transaction to the date of the commitment.
• D) All of these statements are true.

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Definitions:

Attitudinal Loyalty

The level of emotional attachment and positive feelings a customer has towards a brand, influencing repeat purchases.

Psychosurgery

The use of brain surgery to alter behaviour, especially in relation to psychiatric disorders.

Institutionalization

Institutionalization refers to the process of establishing something as a norm or standard in an organization or culture, or the process of placing individuals in institutional care.

Psychoanalysis

A therapeutic approach developed by Sigmund Freud that aims to explore unconscious desires and conflicts as a means of treating psychopathology.