S1 Bond investments classified and accounted for as financial asset at amortized cost are recognized initially at fair value plus transaction costs that are directly attributable to the acquisition. S2: Transaction costs attributable to the acquisition of bond investments held for trading or at "air value through profit or loss are expensed immediately.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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S1: Bond investments classified and accounted for as financial asset at
amortized cost are recognized initially at fair value plus transaction costs
that are directly attributable to the acquisition. S2: Transaction costs
attributable to the acquisition of bond investments held for trading or at
fair value through profit or loss are expensed immediately.
O Only S1 is TRUE
O Only S2 is TRUE
Both statements are TRUE
O Both statements are FALSE
Transcribed Image Text:S1: Bond investments classified and accounted for as financial asset at amortized cost are recognized initially at fair value plus transaction costs that are directly attributable to the acquisition. S2: Transaction costs attributable to the acquisition of bond investments held for trading or at fair value through profit or loss are expensed immediately. O Only S1 is TRUE O Only S2 is TRUE Both statements are TRUE O Both statements are FALSE
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