US Generally Accepted Accounting Principles Require That a Company Adjust

question 138

Multiple Choice

U.S. Generally Accepted Accounting Principles require that a company adjust ________ of available-for-sale securities to ________ at the end of each accounting period.

• A)each security; amortized cost
• B)each security; lower of cost or market
• C)the portfolio; current replacement cost
• D)the portfolio; fair value

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Definitions:

Unconditioned Stimulus

A stimulus that naturally and automatically triggers a response without any prior learning.

Conditioned Stimulus

A previously neutral stimulus that, after being associated with an unconditioned stimulus, elicits a conditioned response.

Classical Conditioning

A teaching method involving the repeated association of two stimuli; a reaction originally produced by the second stimulus eventually becomes produced by just the first stimulus.

Unconditioned Stimulus

In classical conditioning, a stimulus that naturally and automatically triggers a reflexive response without prior conditioning.