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Accounting




Unrealized Holding Gains and Losses


The holding gains and losses that arise from items (assets/ economic resources) that are still held or liabilities still owed in a reporting period. Unrealized holding gains constitute an increase in the value of an asset (s) that a business continues to hold. Whereas, unrealized holding losses represent a decrease in that value.

Such financial results are, under normal conditions and accounting conventions, classified as unrealized- that is, their effect will not be reflected in or charged to an entity’s statement of income. However, if an entity applies the concept of capital maintenance, unrealized holding gains and losses can be classified as income.

Unrealized holding gains and losses are also known as paper holding gains and losses.



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Accounting is the language of business, everywhere, worldwide. It is the means by which virtually every business communicates information about its operations, irrespective of size, scale, objectives, ...
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