When a company makes investments in equity securities with less than 20% ownership using idle cash, its total equity will increase.

Name: When a company makes investments in equity securities with less than 20% ownership using idle cash, its total equity will increase.
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Question

Quizplus · Accepted Answer

Investing in equity securities with less than 20% ownership does not directly increase total equity; it affects the asset side of the balance sheet, not equity.

When a Company Makes Investments in Equity Securities with Less