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Explain how the use of the fair value option for investments in debt securities can mitigate volatility in reported earnings caused by measuring related assets
Explain how the use of the fair value option for investments in debt securities can mitigate volatility in reported earnings caused by measuring related assets and liabilities differently, without applying complex hedge accounting provisions. Additionally,
- Illustrate your point with an example.
- Include how to reduce volatility in your response.
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