Which of the Following Is a Condition for Recording an Available-For-Sale

question 93

Multiple Choice

Which of the following is a condition for recording an available-for-sale debt investment?

• A) The investor intends to hold the debt security until it matures.
• B) The investor intends to sell the security in the very near term.
• C) The investment must be a debt security.
• D) The investor has the ability to hold the security until it matures.

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Definitions:

Testable Prediction

A statement or hypothesis that can be verified or falsified through experimental or observational means.

Naturalistic Observation

An examination method where people are observed in their natural settings without any alterations made by the researcher.

Theory

A systematic explanation of an aspect of the natural world, grounded in observation, experimentation, and reasoning.

Observations

The active acquisition of information from a primary source, using the senses or tools and instruments for measuring and recording.