[Anonymous]

Hey everyone. I’m retaking FAR so I’m re-watching the lectures on Becker that were updated for changes this year and F4:M1 Financial Instruments was one of the changes. However, I’m going through the new lecture with my old book and I don’t see much of a difference. Can anyone explain what exactly changed in this section?

Thank you!

[SchruteBeet]

The way I understood it was before equity and debt securities had similar categories of classification – trading, AFS and amortized cost. With the change, only debt securities make that classification. Equity securities are treated only as trading securities and the terminology is now called fair value through Net income instead of trading securities.

[Anonymous]

Thank you!!

Bears. Beets. Battlestar Galactica.

[Author]

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