When an investor reporting under IFRS owns more than 20% of the common shares of a corporation, it is generally presumed that the investor
A) has insignificant influence on the investee and that the fair value method should be used to account for the investment.
B) should apply the cost method in accounting for the investment.
C) will prepare consolidated financial statements.
D) has significant influence on the investee and that the equity method should be used to account for the investment.
Correct Answer:
Verified
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