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IOSR Journal of Economics and Finance (IOSR-JEF)
IOSR Journal of Economics and Finance (IOSR-JEF)

... A Study of Derivatives Market in India and its Current Position in Global Financial Derivatives 1. Management of risk: One of the most important services provided by the derivatives is to control, avoid, shift and manage efficiently different types of risk through various strategies like hedging, a ...
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... ASU No. 2011-05 amends existing guidance by allowing only two options for presenting the components of net income and other comprehensive income: (1) in a single continuous statement of comprehensive income or (2) in two separate but consecutive financial statements, consisting of an income statemen ...
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... laws. In addition, Piedmont Office Realty Trust, Inc. ("Piedmont"), or its executive officers on Piedmont’s behalf, may from time to time make forward-looking statements in reports and other documents Piedmont files with the Securities and Exchange Commission or in connection with other written or o ...
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... new source of funding, thus helping other securities as well, and we show that this happens when the haircut is reduced sufficiently. Further, the shadow cost of capital decreases if the haircut on enough securities can be lowered. This observation is relevant for the debate about whether central ba ...
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Mark-to-market accounting

Mark-to-market or fair value accounting refers to accounting for the ""fair value"" of an asset or liability based on the current market price, or for similar assets and liabilities, or based on another objectively assessed ""fair"" value. Fair value accounting has been a part of Generally Accepted Accounting Principles (GAAP) in the United States since the early 1990s, and is now regarded as the ""gold standard"" in some circles.Mark-to-market accounting can change values on the balance sheet as market conditions change. In contrast, historical cost accounting, based on the past transactions, is simpler, more stable, and easier to perform, but does not represent current market value. It summarizes past transactions instead. Mark-to-market accounting can become volatile if market prices fluctuate greatly or change unpredictably. Buyers and sellers may claim a number of specific instances when this is the case, including inability to value the future income and expenses both accurately and collectively, often due to unreliable information, or over-optimistic or over-pessimistic expectations of cash flow and earnings.
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