Chapter 17 Multiple Choice

Chapter 17 Multiple Choice - Debt securities that are...

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trading. Unrealized holding gains or losses are recognized as other comprehensive income for: available-for-sale securities. When held-to-maturity securities are sold, the gain (loss) on sale is the difference between the selling price of the securities and their: book value. The Securities Fair Value Adjustment account is reported as: an addition to (deduction from) the securities account. The unrealized holding gain or loss on trading securities is reported as: part of net income. An ownership interest of 30% of the common stock of another corporation should be accounted for using the: equity method. Under the equity method, unrealized holding gains (losses) are: not recognized. When an available-for-sale equity security is sold, the gain (loss) on sale is the difference between the net proceeds from the sale and the security's: cost. Examples of the ability to exercise significant influence over an investee include all of the following except: material intercompany transactions. interchange of managerial personnel. technological dependency. All of the options are examples of significant influence. Under the equity method, the investment account is decreased by all of the following except the investor's proportionate share of: dividends paid by the investee. declines in the fair value of the investment.
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This note was uploaded on 02/27/2012 for the course ACCT 3001 taught by Professor Moffitt during the Fall '08 term at LSU.

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Chapter 17 Multiple Choice - Debt securities that are...

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