If a company chooses the fair value option, a decrease in the fair value of its bonds because of the credit rating dropping is recorded by crediting O Gain on Restructuring of Debt. O Unrealized Holding Gain or Loss-Equity O Unrealized Holding Gain or Loss-Income. O Bonds Payable.
If a company chooses the fair value option, a decrease in the fair value of its bonds because of the credit rating dropping is recorded by crediting O Gain on Restructuring of Debt. O Unrealized Holding Gain or Loss-Equity O Unrealized Holding Gain or Loss-Income. O Bonds Payable.
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter13: Investments And Long-term Receivables
Section: Chapter Questions
Problem 5MC
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Question
E 2
![If a company chooses the fair value option, a decrease in the fair value of its bonds because of the credit rating dropping is recorded by
crediting
O Gain on Restructuring of Debt.
O Unrealized Holding Gain or Loss-Equity
O Unrealized Holding Gain or Loss-Income.
O Bonds Payable.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fd00afb28-c960-457a-a05f-59208ab072c5%2F7575fba7-6d1d-4a52-a005-54785af6b7d8%2Fk7wqjc_processed.png&w=3840&q=75)
Transcribed Image Text:If a company chooses the fair value option, a decrease in the fair value of its bonds because of the credit rating dropping is recorded by
crediting
O Gain on Restructuring of Debt.
O Unrealized Holding Gain or Loss-Equity
O Unrealized Holding Gain or Loss-Income.
O Bonds Payable.
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