F10 - Financial Instruments Flashcards
1
Q
Where are the gains and losses from a fair value hedge included in the financial statements?
A
Current net income
2
Q
Where does the ineffective portion of a cash flow hedge get reported?
A
Current net income
3
Q
If an entity elects to use the fair-value method (as opposed to the equity method) to recognize an investment in another entity, how should the net income from the investment be calculated?
A
Amount of dividend received + fair value increase
