Where a Liability Is Held as a Corresponding Asset by Another

Multiple Choice

Where a liability is held as a corresponding asset by another entity, the fair value of the liability is determined from the perspective of a market participant that:

A) applies a present value technique to measure the liability.
B) applies the cost approach to valuing the liability.
C) calculates the amount required to settle the present obligation.
D) holds the identical item as an asset at measurement date.