Financial Reporting and Analysis Q117
117An analyst included in his presentation below accounting treatment for marketable securities under IAS No. 39C
| Category | MeasurementMethod | Realized Gains & LossesReported In |
| Trading | Fair Value | Income Statement |
| Held to maturity | Amortized Cost | Income Statement |
| Available for sale | Fair Value | Equity |
The treatment for which category is least likely accurate?
- Option : C
- Explanation : All categories treat realized gains or losses in the same way - they are reported on the income statement. It is the unrealized gains and losses that are included in other comprehensive income (in owner’s equity) for available for sale securities carried at market value.
