How Are Transfers Between Portfolios (I

question 95

Multiple Choice

How are transfers between portfolios (i.e.from trading to available-for-sale) accounted for?

• A)Transfers between portfolios are accounted for at fair value on the date of the transfer.
• B)Transfers between portfolios are not allowed under U.S.GAAP.
• C)Transfers between portfolios are accounted for based on the initial cost of the investment.
• D)Transfers between portfolios are accounted for based on the most recently reported fair value of the investments.

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Definitions:

Selection

The process by which certain traits become more or less common in a population due to their effect on the reproductive success of their bearers; also referred to as natural selection.

Ecological Intelligence Hypothesis

A theory suggesting that the complex social behaviors and cognitive abilities of organisms, especially humans, evolved as a response to ecological challenges and opportunities.

Social Intelligence Hypothesis

The theory that complex social behavior in animals, including humans, evolved to solve challenges in social environments.

Cognitive

Relating to the mental action or process of acquiring knowledge and understanding through thought, experience, and the senses.