Which of the Following Statements Is True About Investments Classified

question 126

Multiple Choice

Which of the following statements is true about investments classified as trading securities?

• A) The investor's intent and ability is to hold them to maturity.
• B) They are valued on the balance sheet at cost.
• C) They can consist of debt, but not equity, securities.
• D) Changes in market value are reflected as part of net income.

---

Definitions:

Karma

The belief in cause and effect in a person’s life; you reap what you sow.

Reaps

This term generally means to gather or take something as a result of effort or harvest.

Social Control

Mechanisms, strategies, and policies aimed at regulating individual and group behavior to ensure conformity and compliance within a society.

Moral Code

A set of rules or guidelines about right and wrong behavior that governs an individual's actions and decisions.