Asked by Denise White on May 21, 2024
Verified
Available-for-sale securities are securities that management expects to sell in the future, but are not actively traded for profit.
Available-For-Sale Securities
Securities that management expects to sell in the future but which are not actively traded for profit.
Actively Traded
This describes securities or assets that have high trading volumes and liquidity in financial markets.
- Determine the attributes and documentation obligations for various securities categories.
Verified Answer
DL
Danny LabibMay 24, 2024
Final Answer :
True
Explanation :
Available-for-sale securities are held with the intention of selling them in the future, but they are not actively traded for profit. They are reported at fair value on the balance sheet and any unrealized gains or losses are reported as a separate component of shareholders' equity.
Learning Objectives
- Determine the attributes and documentation obligations for various securities categories.
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