Question

The IASB issued accounting guidance to clarify accounting methods and procedures with respect to debt and equity investments. An important part of the statement concerns the distinction between held-for-collection debt investments, trading debt and equity investments, and non-trading equity investments.

Instructions
(a) Why does a company maintain investment portfolios for these different types of investments?
(b) What factors should be considered in determining whether investments should be classified as held-for-collection, trading, or non-trading? How do these factors affect the accounting treatment for unrealized losses?



$1.99
Sales0
Views131
Comments0
  • CreatedJune 17, 2013
  • Files Included
Post your question
5000