Which of the Following Has the Highest Level of Authority

question 21

Multiple Choice

Which of the following has the highest level of authority for a government under GAAP?

• A) A FASB standard.
• B) A GASB Implementation Guide.
• C) AICPA Industry Audit and Accounting Guide for local governments cleared by the GASB.
• D) An article in the Journal of Accountancy.

Understand the concept of bond duration and its calculation.

Calculate the change in bond prices given duration and a change in yield.

Distinguish between Macaulay duration and modified duration.

Understand and apply the concept of convexity in bond pricing.