14. An example of securities which could be classified as held-to-maturity are A) preferred stock B) warrants. C) municipal bonds D) treasury stock 15. Which set of accounting principles require use of the equity method if a company owns between 20% and 50% A) GAAP B) IFRS. C) Neither A nor B. D) Both A and B. 16. A requirement for a security to be classified as held-to-maturity is A) ability to hold the security to maturity. B) positive intent. C) the security must be a debt security. D) All of these are required. 17. Which of the following is not a criteria that must be met in order for a seller of a product to recognize revenue in a bill and hold transaction? A) Reason for the bill and hold arrangement must be substantive B) The product must be identified separately as belonging to the customer C) The product must be ready for physical transfer to the customer D) The customer must agree to accept full delivery of the product within two weeks 18. All of the following statements regarding accounting for derivatives are correct except that A) they should be recognized in the financial statements as assets or liabilities B) they should be reported at fair value. C) gains and losses resulting from speculation should be delayed until the derivative is settled. D) gains and losses resulting from hedge transactions are reported in different ways. depending upon the type of hedge