What Was the Name of the Plan,enacted in 2011,in Which

question 126

Multiple Choice

What was the name of the plan,enacted in 2011,in which the Fed bought $400 billion worth of long-term securities while selling $400 billion worth of short-term securities?

• A) Operation Go Long
• B) Operation Twist
• C) QE2
• D) QE3

Recognize the accounting treatments for gains and losses under the equity method.

Calculate and understand the treatment of goodwill and other intangible assets in equity method investments.

Understand the recognition and measurement of deferred intra-entity gross profit.

Evaluate the reporting requirements for changes in accounting principle as they relate to the equity method.

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Definitions:

Working Capital

The difference between a company's current assets and current liabilities, indicating the short-term liquidity.

Cash Outflow

Payments or expenditures made by a business or an individual, leading to a decrease in cash assets.

Cost of Capital

The rate of return a company must earn on its investments to maintain its market value and attract funds.

Rate of Return

A financial ratio that calculates the percentage of profit or loss made on an investment relative to its cost.