Accounting Consists of Three Basic Activities Which Are Related to Economic

question 144

Multiple Choice

Accounting consists of three basic activities which are related to economic events of an organization. These include

• A) identifying, recording, and communicating
• B) identifying, calculating, and responding
• C) classifying, numbering, and reporting
• D) issuing, reporting, and classifying

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Definitions:

Trading Securities

Financial securities that are purchased and held primarily for sale in the near term to generate income on short-term price differences.

Unrealized Holding

A profit or loss that arises from the change in value of an investment that has not yet been sold or realized.

Trading Securities

Financial instruments such as stocks and bonds that are bought and sold for the purpose of generating profits on short-term fluctuations in their prices.