Ignoring income taxes, choose the correct response below regarding total stockholders' equity resulting from classifying all debt investments for a firm either as trading securities or available for sale securities$.$

Stocknolders equity is the same regardiess of the classification.

Stockholders' equity is greater if the investments are classified as available$-$for$-$sale.

Stockholders equity is greater if the investments are classified as trading securities$.$

If there have been unrealized gains, classification as trading securities results in higher stockholders equity.