An overview of the Realization Convention, its historical context, applications in accounting, and importance in financial reporting.
A financial statement that showcases the increase or decrease in shareholders' equity from all recognized gains and losses during a given period, excluding shareholder transactions.
Adjusted Basis refers to the original cost or other basis of property, reduced by depreciation deductions and increased by capital expenditures, used to measure gains and losses for tax purposes.
Legging-Out refers to the disposal of one or more unmatured elements in a qualified hedging transaction, where any gain or loss is deferred until the qualifying debt instrument matures or is disposed of in the future.
