Which of the following statements is not accurate with respect to the reporting requirements regarding the fair value accounting option?

Multiple Choice

• The fair value option is not available for security investments that are accounted for using the equity method.

• Financial statement disclosures must include managements rationale for electing the fair value option.

• Once the choice is made to adopt the fair value option, the decision is irrevocable.

• Firms may elect the fair value option for a single eligible instrument without electing it for other identical instruments.