Which of the Following Statements Is Correct

question 14

Multiple Choice

Which of the following statements is correct?

• A) A debt instrument purchased to earn interest will be valued at fair value.
• B) A debt instrument which is purchased to earn interest will be valued at amortized cost.
• C) Gains or losses on FVTPL investments are not recorded until the trading investments are sold and the gains or losses are realized.
• D) All gains and losses on fair value adjustments arising from FVTPL investments are reported in profit or loss.

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Definitions:

Fine Motor Skills

The ability to make movements using the small muscles in our hands and wrists, important for tasks like writing and buttoning clothes.

Gross Motor Skills

The skills needed to manage the major muscle groups in the body for activities such as walking, running, sitting, and crawling.

Sensorimotor Substage

A stage in Jean Piaget's theory of cognitive development, occurring from birth to approximately age 2, where infants learn through interacting with their environment using their senses and motor actions.

Secondary Circular Reactions

A substage in Piaget's sensorimotor stage characterized by the repetition of actions that produce interesting consequences.