When a Firm Does Not Adopt the Fair Value Option,it

question 84

Multiple Choice

When a firm does not adopt the fair value option,it

• A)need not disclose the fair value of its long-term notes receivable.
• B)still must disclose the fair value of its long-term notes receivable unless the reported value approximates fair value.
• C)still must disclose the fair value of its long-term notes receivable if the reported value exceeds fair value.
• D)may disclose the fair value of its long-term notes receivable if the reported value exceeds fair value,but such disclosure is not requireD.

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Definitions:

Independent Events

Two or more events where the occurrence or outcome of one event does not affect the occurrence or outcome of the other event(s), a fundamental concept in probability.

P(A | B)

Represents the conditional probability of event A occurring given that event B has occurred.

Independent Events

Two or more events in probability where the occurrence of one does not affect the occurrence of the other.

P(A ∪ B)

The probability of the union of two events, A and B, occurring.