Discuss and answer at least two of the questions listed below in detail.

1. Why should investment securities be separated into different classifications (Hold to Maturity, Available for Sale, etc.)? Why not just treat them the same so you dont have to worry about their ability or intention?

2. Is it possible for a company to manage its bottom line by classification or reclassification of securities? If so, how? Is this ethical?

3. What are the disclosure requirements regarding Sarbanes-Oxley for investments?

4. Why would a company invest in another companys equity? How about investing in another companys debt securities? What might be some good reasons why a company would invest in another companys debt securities?

5. Lets talk about the Equity method. What is it? What disclosures are required? Why do you think the accounting rules require this kind of disclosure?