Which of the Following Is Not a Reason to Consider

question 53

Multiple Choice

Which of the following is not a reason to consider a decline in the fair value of a debt investment to be "other than temporary"?

• A) The investor determines that a credit loss exists on the investment.
• B) The investor intends to sell the investment.
• C) The investor believes it is "more likely than not" that the investor will be required to sell the investment prior to recovering the amortized cost of the investment less any credit losses arising in the current year.
• D) The investor intends to hold the investment to maturity.

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