[...] are contracts that give rise to both a financial asset of one company and a financial liability of another company.
Answer
Financial instruments
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Subject 3. Financial Instruments: Financial Assets and Financial Liabilities Financial instruments are contracts that give rise to both a financial asset of one company and a financial liability of another company. Financial instruments come in a variety of forms which include derivatives, hedges, and marketable securities.
Measured at fair market value:
Financial assets:
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