Why should investment securities even be separated


Investment securities can be classified as "Hold to Maturity", "Available for Sale," or "trade." The specific classification depends on the company's ability to do as it wishes and its intention to do what it states. However, should this be the sole criterion to be used in classifying investment securities? Why should investment securities even be separated into different classifications? Why not just treat them all the same so you would not have to worry about their ability or intention?

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Accounting Basics: Why should investment securities even be separated
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