CFA CFA Level 2 Question of the Week: Level 2 – Financial Reporting and Analysis (1)

Question of the Week: Level 2 – Financial Reporting and Analysis (1)

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    • Avatar of MarkMeldrumMarkMeldrum
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        The correct answer is Option B. 

        This is an equity investment, which eliminates amortized cost.  Since the purpose of the investment is to generate capital gains, the intent is to hold the securities for future trading/sale.  As such, the financial asset can only be categorized as fair value through profit and loss.

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