Fair Value Accounting Is Also Known as

question 27

Multiple Choice

Fair value accounting is also known as

• A)fundamental analysis.
• B)technical analysis.
• C)GAAP accounting.
• D)mark-to-market accounting.

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Definitions:

Direct Method

In cash flow reporting, a format that presents major classes of gross cash receipts and payments, providing transparency into a company's operating cash flows.

Operating Activities

Activities that constitute the primary or main activities of a business, such as selling goods or providing services.

Cash Collections

Cash collections involve the process of gathering all payments or receipts in cash form, typically from customers or clients.

Indirect Method

A method for preparing the cash flow statement where net income is adjusted for changes in balance sheet accounts to calculate cash flow from operating activities.