What is the major difference in the accounting for a portfolio of trading securities and a portfolio of available-for-sale securities?

Q: How do you carry out your investment strategy for stock securities?

A: The mainly followed investment strategies are value investing, growth investing, momentum investing…

Q: Why are held-to-maturity securities treated differently from other investment securities?

A:

Q: Discuss the main factors that influence the prices of securities on a stock exchane.

A: There are many factors that influence the prices of securities.

Q: Do we record unrealized gain or loss as a debit or a credit balance when making the fair value…

A: Financial accounting records all the financial transactions occurred during the accounting period.…

Q: distinguish between dilutive and antidilutive securities, and describe the implications of each for…

A: Diluted Securities are the financial instruments that can be converted into common stock and may…

Q: Distinguish between margins in the securities markets and margins in the futures markets.

A:

Q: The way in which the price of securities determined in Financial Markets is:

A: The correct answer is b. Through frequent interaction between investors.

Q: Which

A: Preferred stock is a special type of stock in which shareholder get Fixed dividends and does not…

Q: Illustrate the effect that market interest rates have on the price of pass-through securities?

A: A pool comprising of assets that provide fixed income and are secured by several assets are known as…

Q: here can I find the information on Hybrid Securities? Is this a form of available-for-sale…

A: Step 1 Securities are a financial instrument used by the companies to raise capital. One of the many…

Q: What are the two important differences between trading securities and HTM investments?

A: Investment: It refers to the process of using the currently held excess cash to earn profitable…

Q: What are the pros and cons of dealer markets (e.g. - treasury bond markets) as compared to trading…

A: The financial market known as a "dealer market" is where dealers list the prices at which they would…

Q: Describe the Sale of Trading Security Investments.

A: Trading security investments: It refers to the trading of such investment that is done by the…

Q: Marketable securities bought and held primarily for sale in the near term are classified as:  a)…

A: Marketable securities are securities which is unrestricted and can be bought or sold on a public…

Q: What are some differences among the following types of securities:debt, equity, and derivatives?

A: Securities are the financial instruments that can be traded in the market for financial…

Q: oney market and capital market securities by giving appropriate examples.

A: Introduction : The money market as well as the capital market are the two most significant…

Q: is a method of evaluating securities by iden

A: Explanation : Technical analysis can be understood as the way of appraising commodities that…

Q: Explain Important Terms Used in the Market for CMOs and Derivative Securities?

A: CMO (Collateralised Mortgage Obligation): The obligation to repayment ensured by the mortgage to be…

Q: Explain the role of speculators in determining the price of a security on the stock market

A: Stock market are platform where there is trading of stocks happen so there is buying and selling of…

Q: What are the differences between held to Maturity and Held for Trading Securities and what are the…

A: Securities held by an entity can either be held to Maturity or it can be Held for Trading…

Q: Which of the following is rated by most securities rating services? Market risk Quality Quantity…

A: Market risk is the risk of change in prices because of market factor and volatility, and this…

Q: Briefly discuss how a transfer of securities from the available-for-sale category to the trading…

A:

Q: In which of the following markets "new issues" of long term securities are bought and sold?

A: In foreign exchange market, currencies are bought and sold. In secondary market, buying and selling…

Q: Why are unrealized gains and losses on trading securities reported in the incomestatement?

A: Unrealized gains and losses: Trading securities are reported at their fair values. Unrealized gains…

Q: Define Issuance of Equity Securities.

A: Investments:   Companies invest in stocks and bonds of other companies or governmental entity to…

Q: What is marketable securities?

A: Balance sheet has different components. On the basis of liquidity, cash and cash equivalents are the…

Q: Compare and contrast the stock market from bond market. Stock Market Bond Market

A: Stock market Bond Market 1) Here, equity shares are traded. Here, debt securities are traded.…

Q: What is the definition of hedging securities? Explain.

A: Introduction:Hedging is a strategy in which investors attempt to reduce the risk of loss on their…

Q: Realized gains and losses are recorded on the incomestatement for which of the following…

A:

Q: understand the importance of weighting securities in a portfolio?

A: Answer: Portfolio weights are the percentage of a portfolio’s total value that is invested in a…

Q: Identify which refers to the relationship of interest and time of maturity of securities.

A: interest refers to the return that an investor gets for investing his money in the security or…

Q: Identify and explain the different types of classificationsfor investments in equity securities.

A:

Q: Trading bond investment are reported at

A: Investments held for trade are recorded at Fair value and their fair value is assessed and adjusted…

Q: What is the difference between trading securities and available for sale securities, and how are…

A: The financial instruments that are tradable and can be used to raise capital in private and public…

Q: What is an asset allocation in investing equity securities?

A: Asset allocation means the investment portfolio is splitted based on the asset categories like…

Q: Under what circumstances do we use the equity method to account for an investment in stock?

A: The equity method seems to be an accounting methodology that a firm uses to recognize profits gained…