Which of the Following Are Requirements for Hedge Accounting

question 31

Multiple Choice

Which of the following are requirements for hedge accounting?

• A) An existing risk management strategy involving hedging.
• B) Designation and documentation of the hedging relationship.
• C) Reasonable expectation of hedge effectiveness.
• D) All of these answers are correct.

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Definitions:

Cerebellar Cortex

The outer layer of the cerebellum in the brain, involved in the regulation and coordination of movement, posture, and balance.

Vagus Nerve

A cranial nerve that innervates major organs, including the heart and digestive tract, playing a crucial role in autonomic functions like heart rate and digestion.

Glossopharyngeal Nerve

The ninth cranial nerve, which is responsible for taste and other functions in the tongue and throat.

Spinal Reflex Arc

A neural pathway that mediates a reflex action involving the spinal cord, consisting of at least one sensory neuron and one motor neuron.