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Which is atrue statement regarding the fundamental requirement of accounting for derivatives? Multiple Choice Derivatives are reported on the balance sheet only as an asset.

Which is atrue statement regarding the fundamental requirement of accounting for derivatives?

Multiple Choice

  • Derivatives are reported on the balance sheet only as an asset.
  • Changes in derivative cost basis are recorded in the liability value.
  • Changes in derivative cost basis are recorded in the asset value.
  • Derivatives are reported on the balance sheet only as a liability.
  • Changes in derivative fair value are included in comprehensive income.

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