Discuss how the principles of the conceptual framework are the heart of accounting. What are they? How do they relate to each other? Explain the difference between HTM, AFS, and Trading securities. Be sure to include how each are valued on the financial statements and the reasoning why. Also discuss your thoughts on where you think management might try to hide riskier investments if they did not want the public to know. What is the purpose of the Statement of Comprehensive Income and the components of it? Describe how the income statement, statement of comprehensive income, balance sheet, statement of changes in stockholders’ equity, and the statement of cash flows are all connected to each other.
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