Available for sale: Difference between revisions

Under US GAAP, AFS assets represent debt securities and other financial investments that are non-strategic, that are neither held for trading, nor held to maturity, nor held for strategic reasons, and that have a readily available market price. As such, the gains and losses resulting from marking AFS investments to market (revaluing them to market price / [[fair value]] each period) are not included in Net Income (unlike the gains and losses associated with "trading" investments) but are reflected in Other Comprehensive Income (income statement / retained earnings) and Accumulated Other Comprehensive Income (balance sheet) until they are realized (sold).<ref>Financial Accounting Standards Board, [http://www.fasb.org/st/summary/stsum115.shtml "Summary of Statement No. 115"] Retrieved August 23, 2014.</ref><ref>Financial Accounting Standards Board, [http://www.fasb.org/pdf/aop_FAS115.pdf "Statement of Financial Accounting Standards No. 115"] Retrieved August 23, 2014.</ref>