Social Studies, 05.03.2020 07:40 golfthrash
On December 1, 2018 a company bought a call option costing $100,000 as a speculative investment. The call option gave the company the right to purchase 100,000 barrels of oil for $110 per barrel during April 2019. As of December 31, 2018 the call option had a value of $125,000. The company liquidated the call option on April 15, 2019 in exchange for $175,000. Which of the following accurately describes GAAP accounting for this call option?
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On December 1, 2018 a company bought a call option costing $100,000 as a speculative investment. The...
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