Which of the following categories of investments are reported at their fair values on the balance sheet and have unrealized holding gains and losses included as a separate component of stockholders’ equity?

Finance ch 13/ch13 quiz multiple choice 2015 answers (100% answer)

The category of investment that is reported at its fair values on the balance sheet and has unrealized holding gains and losses included as a separate component of stockholders\’ equity is investments in marketable securities.

These securities are typically traded publicly in an exchange or over-the-counter market, have readily determinable fair values, and are recorded at their current trading prices.

Unrealized holding gains or losses resulting from changes in these security prices will be reported on the balance sheet as components of shareholders’ equity until they are realized through sale or other disposal.