Which of the Following Is a Criterion for a Debt

question 25

Multiple Choice

Which of the following is a criterion for a debt instrument to be viewed as having a lending or customer financing business purpose?

• A)Debt instrument is held for the purpose of being sold.
• B)Investor's purpose is collecting cash flows.
• C)Investor cannot renegotiate, sell, or settle the debt to minimize losses due to deteriorating credit quality.
• D)Investment is actively managed internally on a fair value basis but doesn't qualify for FV-OCI.

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Definitions:

Physical Activity

Any physical action generated by the contraction of skeletal muscles that leads to the consumption of energy, encompassing activities performed during work, play, household tasks, commuting, and leisure activities.

ACSM Guidelines

Recommendations set forth by the American College of Sports Medicine regarding physical activity and exercise for health and fitness.

Muscle Fitness Training

Exercise routines designed to increase muscle strength, endurance, and mass through resistance and weight training.

PRICE Method

An acronym for Protection, Rest, Ice, Compression, and Elevation; a first-aid strategy used to treat minor injuries or reduce pain and swelling.