No significant influence equity investments generally involve the ownership of less than 20% of the investee's voting stock.

Question

Quizplus · Accepted Answer

No significant influence equity investments refer to investments where the investor owns less than 20% of the voting stock of the investee. As the name suggests, such investments do not give the investor significant influence over the investee's operations, and therefore, generally do not have a significant impact on the investor's financial statements.

No Significant Influence Equity Investments Generally Involve the Ownership of Less