Realized Gains and Losses from Long-Term Available-For-Sale Investments Arise From

question 21

Multiple Choice

Realized gains and losses from long-term available-for-sale investments arise from:

• A)the purchase of an investment.
• B)the sale of the investment.
• C)changes in the fair value of the investment.
• D)investor's share of investee's net income or net loss.

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Definitions:

Not-for-profit Organizations

Entities that operate for purposes other than generating profit, focusing instead on public or social objectives.

External Reporting

refers to the process of preparing and disclosing financial statements and other information to outside users such as investors, creditors, and regulatory agencies.

Amortization Period

The length of time over which the principal and interest of a loan or mortgage are scheduled to be paid down to zero.

Capital Assets

Long-term assets acquired for operational purposes rather than for resale, including buildings, machinery, and equipment.