Investments are classified as available-for-sale securities,trading securities or held-to-maturity securities.

Question

Quizplus · Accepted Answer

This statement is true. Investments can be classified into these three categories based on the intention of the investor and the type of investment. Available-for-sale securities are investments that the investor may sell in the near future, trading securities are bought and sold frequently for profit, and held-to-maturity securities are investments that the investor intends to hold until maturity.

Investments Are Classified as Available-For-Sale Securities,trading Securities or Held-To-Maturity Securities