a)

Unrealized holding gains and losses are recognized in net income for available-for-sale debt securities.

	True
	False

b)

To classify a debt security as held-to-maturity, the company need only to have the positive intent to hold the security to maturity.

	True
	False

c)

The Fair Value Adjustment account has a normal credit balance.

	True
	False

d)

A correct valuation for debt securities is

	held-to-maturity at fair value.
	available-for-sale at amortized cost.
	held-to-maturity at amortized cost.
	None of these answers are correct.