If a company has gains in its marketable securities, it would most likely want to report the securities using what method?
A) Held-to-maturity
B) Trading securities
C) Available-for-sale

Question

Quizplus · Accepted Answer

Trading securities are reported at fair value with unrealized gains and losses recognized in earnings, which allows companies to show gains in their income statement, making this method preferable for reporting gains in marketable securities.

If a Company Has Gains in Its Marketable Securities, It