"A debt security in an available-for-sale securities portfolio is transferred to a held-to-maturity securities portfolio. The security should be transferred between the corresponding portfolios at

The options for answering this question are the following:

to. book value at date of transfer if higher than the fair value at date of transfer

b. cost, regardless of the fair value at date of transfer

c. fair value at date of transfer, regardless of its cost

d. lower of its cost or fair value at date of transfer

The correct answer is c. fair value at date of transfer, regardless of its cost

Explanation:

The fair value is the price that would be received for the sale of an asset or would be paid for the transfer of a liability in  an orderly transaction in the main market (or more advantageous) on the date of measurement under market conditions  present (i.e. an exit price) regardless of whether that price is directly observable or estimated  using another valuation technique.

The main market price (or more advantageous) used to measure the fair value of the asset or liability will not be adjusted by the  transaction costs Transaction costs will be accounted for in accordance with other IFRS. Transaction costs are not a  characteristic of an asset or a liability; rather, they are specific to a transaction and will differ depending on the way in which  An entity performs a transaction with the asset or liability.

Transaction costs do not include transportation costs. If the location is a characteristic of the asset (such as the  case, for example, of a quoted raw material), the price in the main (or more advantageous) market will be adjusted for costs, if  there would be, which would be incurred to transport the asset from its present location to that market.

answer; tech (a) is correct;

answerindustrial revolution;