Equity Method Video Lessons

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Problem: Recording investments under the equity method requires a. a year-end adjustment of the investment account to reflect market value. b. the investment account be proportionately increased for earnings reported by the investee. c. the investment account be increased for dividends paid to the investor by the investee. d. all of the above.

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Problem Details

Recording investments under the equity method requires

a. a year-end adjustment of the investment account to reflect market value.

b. the investment account be proportionately increased for earnings reported by the investee.

c. the investment account be increased for dividends paid to the investor by the investee.

d. all of the above.

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