Accounting methods of financial institutions, such as savings and loan companies and banks, were the major reasons the FASB studied the valuation issues relating to investments. FASB Statement No. 115, however, affects all companies that invest in marketable debt and equity securities. As controller of a retailing company, you are concerned with the classification of “trading security.” How can you decide whether the investments you have are trading or available-for-sale securities? In discussing this issue with other controllers, you are surprised to hear some of them indicate that Statement No. 115 really doesn’t affect the reported income of nonfinancial institutions and that all securities for these companies are considered available-for-sale securities. Other controllers were concerned by this statement because this reasoning would make accounting for investments less conservative than it was before FASB Statement No.115. Do you agree with either of these points of view and why? In what way has FASB Statement No. 115 made accounting for investments less conservative?