financial statement analysis

Trading marketable securities. Select one: a. are considered noncurrent assets O b. are recorded at amortized cost c. are marked to the lower of cost or market each accounting period to d. are marked to market each accounting period The classification of marketable equity securities as trading or available-for-sale is determined: Select one: O a. by management's intent regarding the disposition of the securities O b. when the securities mature O c. whether management wants to mark them to market or not. Od, whether the current assets are greater or less than the current liabilities The equity method of accounting for investments requires. Select one: O a. goodwill related to purchase of investee stock to be recorded separately on balance sheet O b. proportionate share of investee's earnings should be recorded as investment income c. company should not have significant influence over investee O d. investment should be marked to market each accounting period Agwen Corporation owns 25% of the shares of Bronwo Corporation, which is traded on the New York Stock Exchange. Which method is Agwen most likely to use to account for this investment? Select one: O a. Consolidation method O b. Equity method O c Market method O d. Cost method Company A acquires 40% of Company B in a stock-for-stock exchange. With respect to preparing financial statements, which of the following statements is correct? Select one: O a. Company A will most likely use the cost method O b. Company A will most likely use pooling-of-interest accounting for consolidation purposes O c. Company A will most likely use purchase accounting Od. Company A will most likely use the equity method