Adjustment made when at the end of a period in which a company sold securities, to ensure that gains and losses are not counted twice in comprehensive income. Without such an adjustment, a company might report realized gains or losses as part of net income but also show the gains or losses as part of other comprehensive income in the current or previous periods. Companies generally report reclassification adjustments in the notes to the financial statements.
(a) underlying
(b) option contract
(c) documentation
(d) reclassification adjustment
Ans: (d) reclassification adjustment
Business
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A strategic budget is a long-term financial plan used to coordinate the activities needed to achieve the long-term goals of the company
Indicate whether the statement is true or false
Business
Which of the following is classified under "common securities"?
A) real estate B) bullion C) debenture D) bank deposit
Business