Which of the Following Statements Is True About Hedge Accounting

question 19

Multiple Choice

Which of the following statements is true about hedge accounting under U.S. GAAP?

• A) Companies may choose whether to account for derivatives as cash flow hedges or fair value hedges.
• B) If a derivative qualifies as a cash flow hedge, the hedging instrument is adjusted to fair value on each balance sheet date.
• C) If a derivative is elected by the company not to be designated as a cash flow hedge, it must be accounted for as such.
• D) Hedge accounting is only advantageous when a foreign currency depreciates between the transaction date and the payment date.

Distinguish between true and commonly held misconceptions regarding job satisfaction and organizational commitment.

Appreciate the role of hope in management and employee goal setting and achievement.

Understand the concept of anticipatory emotions and their role in goal achievement.

Describe the elements of strong organizational commitment.

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Definitions:

Fibrous Pericardium

The tough outer layer of the pericardium that protects the heart and anchors it within the thorax.

Serous Pericardium

The thin, transparent layer of tissue forming the inner lining of the pericardium, which secretes serous fluid to reduce friction during heartbeats.

AV Node

The atrioventricular node, a part of the heart's electrical conduction system that delays the signal before it passes to the ventricles.

SA Node

The sinoatrial node, a group of cells in the right atrium of the heart that regulates the heart's rhythmic contractions.