The mark-to-market adjustment for investments classified as "available for sale" affects:

Question

Quizplus · Accepted Answer

The mark-to-market adjustment for investments classified as "available for sale" affects the balance sheet, as it is reflected in the fair value adjustment account, which is a component of stockholders' equity. It does not affect the income statement or the cash flow statement unless the investments are sold, in which case any gain or loss would be recognized in the income statement and the cash flow statement.

The Mark-To-Market Adjustment for Investments Classified as "Available for Sale