Examlex
For each of the following scenarios,state the type of investment:
1.Available-for-sale debt investment
2.No significant influence equity investment
3.Trading debt investment
4.Significant influence equity investment
5.Held-to-maturity debt investment
6.Controlling interest equity investment
Indicate your answer by placing the correct number next to the scenario.
a.________ Arnold Corp.owns a debt security in Brady Corp.Arnold plans on holding the debt for thirty days.
b.________ Maxwell Inc.owns 70% of the voting stock of Russell Corp.
c.________ Millie Inc.owns a debt security of Auntie Inc.Millie intends to and has the ability to hold the debt security until maturity.
Responsibility
The obligation to act ethically and accountably in roles or tasks assigned to an individual or organization.
Primary Market
A marketplace where issuers sell new securities directly to investors for the first time.
Public Offering
The sale of equity shares or other financial instruments to the public for the first time.
Computer Industry
A sector of the economy that encompasses businesses involved in manufacturing, developing, and selling computer hardware, software, and services.
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