An associate is an entity, including an unincorporated company such as a partnership, over which the investor has significant influence and that is also a subsidiary or a joint venture.

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An associate is an entity over which the investor has significant influence, typically evidenced by owning 20% to 50% of the voting stock, but it is not a subsidiary or a joint venture. A subsidiary is controlled by another company, while a joint venture is a business entity created by two or more parties with shared ownership and control.

An Associate Is an Entity, Including an Unincorporated Company Such