Which of the Following Is True of the Johnson Act

question 25

Multiple Choice

Which of the following is true of the Johnson Act, as passed by Congress in 1934?

• A) The act forbade the government from extending loans to foreign governments that were in default on debts owed to the United States.
• B) By the terms of the act, the United States returned to the gold standard.
• C) The act declared a moratorium on war debts owed to the United States.
• D) Through the act, American banks were permitted to open foreign branch banks.

Identify and apply the accounting treatments for premiums, discounts, and amortization related to bond investments.

Recognize the impact of market value changes on the accounting and reporting of available-for-sale securities.

Comprehend the criteria and implications of transferring investments between categories.

Know the disclosure requirements for investments in securities under current GAAP.

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Definitions:

Gleaming Buildings

Structures that are noted for their shiny and reflective exterior surfaces, often indicating modernity and progress.

Diesel Generators

Machines that convert diesel fuel into electrical energy, typically used as a backup power source in case of electricity outage.

Oxcarts

Traditional vehicles typically pulled by oxen, used historically for transport of goods and people in various cultures.

Three-Wheeled Taxis

Motorized public transport vehicles with three wheels, commonly used in parts of Asia and Africa for short-distance travel.