What is a fair-value hedge?
Question:
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 50% (14 reviews)
A fairvalue hedge is a hedge of the exposure to changes ...View the full answer
Answered By
Charles mwangi
I am a postgraduate in chemistry (Industrial chemistry with management),with writing experience for more than 3 years.I have specialized in content development,questions,term papers and assignments.Majoring in chemistry,information science,management,human resource management,accounting,business law,marketing,psychology,excl expert ,education and engineering.I have tutored in other different platforms where my DNA includes three key aspects i.e,quality papers,timely and free from any academic malpractices.I frequently engage clients in each and every step to ensure quality service delivery.This is to ensure sustainability of the tutoring aspects as well as the credibility of the platform.
4.30+
2+ Reviews
10+ Question Solved
Related Book For
Advanced Financial Accounting
ISBN: 978-0137030385
6th edition
Authors: Thomas Beechy, Umashanker Trivedi, Kenneth MacAulay
Question Posted:
Students also viewed these Accounting questions
-
How does the accounting for a fair value hedge differ from the accounting for a cash flow hedge of an unrecognized firm commitment?
-
Should gains and losses on a fair value hedge be recorded as they occur, or should they be recorded to coincide with losses and gains on the item being hedged?
-
Distinguish between a fair value hedge and a cash flow hedge.
-
Tiffee Company identifies the following items for possible inclusion in the physical inventory. Indicate whether each item should be included or excluded from the inventory taking. (a) 900 units of...
-
Henry can buy a farm for $700,000 with terms of $100,000 down and the balance payable over 20 years by quarterly payments including interest at 8% compounded annually. What will be the size of the...
-
Begin your essay with an overview, including your degree program, a summary of your career goals, and the ethnic background your interviewee (if possible, also list their position/title). Explain...
-
The life spans of a species of lady bugs have a bell-shaped distribution, with a mean of 1000 days and a standard deviation of 100 days. (a) The life spans of three randomly selected lady bugs are...
-
Write the letter of the method that is most applicable to each statement. a. Specific identification b. Average cost c. First-in, first-out (FIFO) d. Last-in, first-out (LIFO) ____________ 1. Is the...
-
howyou would suggest Armenia to reform their financial policies (banking system, allow/do not allow certain types of foreign investment/aid). use the Trading Economics. "Armenia Current Account" and...
-
Claude Lopez is the president of Zebra Antiques. His employee, Dwight Francis, is due a raise. Dwight?s current benefits analysis is as follows: Company Cost (Current) Yearly Benefit Costs Employee...
-
Explain the term cash-flow hedge.
-
What is hedge accounting? Discuss.
-
Pearson Company owns 80% of the common stock of Sedbrook Company. Pearson Company sells merchandise to Sedbrook Company at 25% above its cost. During 2011 and 2012, such sales amounted to $265,000...
-
This question is based on the "Find_SR_Again tab of spreadsheet. a) Fill in the highlighted cells using appropriate formulas. b) Can you explain why the two numbers highlighted in red are different?...
-
Given the functions f(x) = 2x-5x+2, Find 1. f(-2) 2. h (6-5x) h(x)=4-2x, r(x)= 3. f (2) -h (0) 4. r() x+2 3-2x 5. f(x-2) 6. f(x+t)-f(x)
-
Annie has $100 to spend on bottles of wine for a party. Each bottle of wine costs $21.31. What is the maximum number of bottles of wine she can buy
-
what is your goal as a professional civil engineer?
-
You know that assets 1 and 2 have the same standard deviation and that the correlation between their returns is 0.4. You observe that the portfolio with 30% invested in asset 1 and the rest in asset...
-
What is the IAB and why is it necessary?
-
Juanita owns a home in Richardson, TX. She purchases a Homeowners Policy (HO-3) from Farm State Ins. Co. The policy provides $100,000 in liability coverage (coverage E) and $5,000 in Med Pay coverage...
-
Jason Home Products currently sells its products through multiple distribution channels. When the company first started, its home cleaning products were sold strictly through home party sales. About...
-
Select the most appropriate answer for each of the following questions. 1. Goodwill is a. Seldom reported because it is too difficult to measure. b. Reported when more than book value is paid in...
-
Select the most appropriate answer for each of the following questions. 1. Goodwill is a. Seldom reported because it is too difficult to measure. b. Reported when more than book value is paid in...
-
Select the most appropriate answer for each of the following questions. 1. Goodwill is a. Seldom reported because it is too difficult to measure. b. Reported when more than book value is paid in...
-
Assume that a firm has weighted average cost of capital of 3.6% with a corporate tax rate of 21%. The pre-tax cost of debt is 3.1%. In case the firm would have no debt, the cost of equity for the...
-
Consider the stock of Aya Company, which will pay an annual dividend of $3 one year from today. The dividend will grow at a constant rate of 3%, forever.The market requires a 12% return on the...
-
Analyze the video presented on the link below. Also, please discuss or explain the video and relate it to personal finance. https://www.youtube.com/watch?v=nFY0HBkUm8o
Study smarter with the SolutionInn App