Financial Reporting and Analysis Q66

0. A security analyst is comparing a company which prepares its financial statements according to IFRS to a company that follows the U.S. GAAP. The analyst is most likely to make an adjustment to:

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Option : C
Explanation : IFRS makes a distinction between unrealized gains and losses on available-for-sale debt securities that arise as a result of exchange rate movements and requires these changes in value to be recognized in the income statement, whereas U.S. GAAP does not make this distinction.

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