The Purpose of the Mark-To-Market Adjustment for Securities Classified as "Available-For-Sale

question 19

Multiple Choice

The purpose of the mark-to-market adjustment for securities classified as "available-for-sale" is:

• A) To adjust the valuation of a company's investment to current market value.
• B) To recognize the proper amount of gain or loss on fluctuations in the market value of these securities in the current period income statement.
• C) To adjust a corporation's capital stock account to reflect the current market value of the outstanding capital stock.
• D) Both a and b are correct.

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Definitions:

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A word used to refine logical searches. For Internet searches, the words AND, NOT, and OR describe the relationships between keywords in the search.

AND

A logical operator in programming and mathematics that results in true if and only if all operands are true.

OR

A logical operation that yields true if any of its operands are true, commonly used in programming and digital logic.

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