When an inter-corporate investment is always carried at an amount equal to the investors' share of the book value of the underlying net assets of the investee,the method of equity accounting that is being followed is:

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The pure equity method is used when an inter-corporate investment is always carried at an amount equal to the investors' share of the book value of the underlying net assets of the investee. Under this method, the investor records its share of the investee's net income or loss, which is then reflected in the investor's statement of comprehensive income. This method is also known as the simple equity method.

When an Inter-Corporate Investment Is Always Carried at an Amount