A Trading Security Is Measured at Fair Value on the Balance

question 24

Multiple Choice

A trading security is measured at fair value on the balance sheet date and reported as

• A)A current asset,and changes in fair value are reported in earnings as unrealized gains and losses.
• B)A current asset,and changes in fair value are reported in earnings as realized gains and losses.
• C)Either a current or noncurrent asset depending on whether they meet the definition of a current asset.
• D)A current asset,and changes in fair value are reported in accumulated other comprehensive income as unrealized gains and losses.

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