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USGAAP and IFRS Require Firms to Account for Debt Securities

Question 119

Multiple Choice

U.S.GAAP and IFRS require firms to account for debt securities designated as held to maturity by not recognizing _____ but might recognize _____.


A) increases in fair value (unrealized gains) ; decreases in fair value (unrealized losses)
B) decreases in fair value (unrealized losses) ; increases in fair value (unrealized gains)
C) increases in future value (unrealized gains) ; decreases in future value (unrealized losses)
D) decreases in future value (unrealized losses) ; increases in future value (unrealized gains)
E) increases in future value (realized gains) ; decreases in future value (realized losses)

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