Which of the Following Statements Is Not True

question 39

Multiple Choice

Which of the following statements is not true?

• A) Under the fair value through other comprehensive income model gains and losses are critical to the evaluation of management.
• B) Under the fair value through profit or loss model, both realized and unrealized gains and losses are reported in the income statement.
• C) Under the amortized cost model, no unrealized gains or losses are reported.
• D) Non-strategic investments are purchased to generate investment income.

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Definitions:

Lowest Terms

The simplest form of a fraction, where the numerator and the denominator are reduced to their smallest whole numbers.

Quarts

A unit of volume in the U.S. customary and the British imperial systems, equal to a quarter of a gallon, or approximately 0.946 liters.

Tint

A slight or faint shade of color or a small amount of a particular color added to something.

Ounces

A measure of mass in the avoirdupois system, equivalent to 1/16th of a pound or about 28.35 grams.