If a company elects to use the fair value option at initial recognition,unrealized gains and losses at year-end are reported as part of other comprehensive income.

Name: If a company elects to use the fair value option at initial recognition,unrealized gains and losses at year-end are reported as part of other comprehensive income.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Unrealized gains and losses for items measured at fair value are reported in net income, not other comprehensive income, when the fair value option is elected.

If a Company Elects to Use the Fair Value Option