CFA Practice Question

There are 334 practice questions for this study session.

CFA Practice Question

The corridor approach was invented to prevent the balance of the Unrecognized Gain or Loss account balance from getting too small. True or False?
Correct Answer: False

The approach is used to prevent the balance from getting too large.

User Contributed Comments 1

User Comment
dblueroom I think the invention of the corridor approach is really to defer the recognization of gain, but also is to prevent the balance from getting too big.
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