Describe similarity between reporting for two classification

Reference no: EM13902202

ACCOUNTING FOR AVAILABLE-FOR-SALE AND TRADING MARKETABLE EQUITY SECURITIES. Firms invest in marketable securities for a variety of reasons. One of the most common reasons is to temporarily invest excess cash. Securities that qualify for the available-for-sale reporting classification are accounted for differently from those that qualify for the trading reporting classification. Describe the similarity between the reporting for the two classifications. Also describe the differences in reporting between the two classifications.

Reference no: EM13902202

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