Under the equity method of accounting for a stock investment,a proportionate share of the investee's income is recorded on the investor's records.

Name: Under the equity method of accounting for a stock investment,a proportionate share of the investee's income is recorded on the investor's records.
Brand: Quizplus
Rating: 4.7 (40 reviews)

Question

Quizplus · Accepted Answer

Under the equity method, the investor records a proportionate share of the investee's income on their records, based on the percentage of ownership in the investee's equity.

Under the Equity Method of Accounting for a Stock Investment,a