When an Impairment of an Equity Investment That Is Classified

question 47

Multiple Choice

When an impairment of an equity investment that is classified as available for sale occurs for a reason that is judged to be "other than temporary," the investment is written down to its fair value and the amount of the write-down is:

• A)Recorded as a deferred credit.
• B)Included in income.
• C)Recorded as deferred asset.
• D)Treated as unrealized.

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Definitions:

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Inorganic, non-metallic solids made by the action of heat and subsequent cooling, used for making goods such as pottery, bricks, tiles, and in some technologies.

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Involves non-consensual sexual activities forced upon one individual by another.

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A treatment involving the use of certain chemicals to remove heavy metals from the body, often used in cases of heavy metal poisoning.