Which of the Following Is/aretrue

question 140

Multiple Choice

Which of the following is/aretrue?

• A)Both U.S.GAAP and IFRS provide for the option of reporting selected financial assets and financial liabilities at fair value and recognizing gains and losses in net income as fair values change.
• B)Once elected, the fair value option is irrevocable for the instrument to which the firm applies it.
• C)Both U.S.GAAP and IFRS require measurement at fair value with changes included in income for three items: (1) trading securities, (2) fair value hedges, (3) derivatives not designated as hedges.
• D)Firms can elect the fair value option for the following items: (1) bonds held to maturity, (2) available-for-sale securities, and (3) cash flow hedges.
• E)all of the above