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satela [25.4K]
4 years ago
11

The generally accepted accounting principles for trading securities include all of the following except:________a. Initially rec

ording the investment at costb. Subsequently valuing the investment at fair valuec. Including unrealized holding gains and losses as a component of stockholders' equityd. Including interest and dividend revenue as part of income
Business
1 answer:
lord [1]4 years ago
4 0

Answer:

c. Including unrealized holding gains and losses as a component of stockholders' equity

Explanation:

Any unrealized holding gains or losses of Held for Trading securities must be included in the income statement under unrealized gains or losses. They affect net income, because a gain resulting from an increase in market value will increase net income, and a decrease in market will decrease net income.

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