Which of the following accurately describes the treatment of HTM securities

a) If the FV option chosen, the company must use the amortization schedule to get the amortized cost of the HTM security AND must use a Fair Value Adjustment account to adjust the HTM security at yearend.

b) HTM securities can be debt or equity instruments and will require the amortization schedule in either case.

c) HTM securities are always recorded at Fair Value so the Fair Value Adjustment account is used instead of the Amortized Cost that we used in Chapter 14

d) If the FV option is chosen, the company can forego the amortization schedule since the FV will be used to determine the balance sheet balance at year end all cash received will be considered investment interest revenue.