Stock Trader, Inc. began operations in 2005. Stock Trader has acquired a number of equity investments during 2005. None have been sold. Stock Trader exerts no influence over any of its investments each of which represents a small percentage of the investee. An analysis of Stock Trader's investment portfolios shows the following totals at December 31, 2005:
Based on the information provided, describe how Stock Trader would present this information in its financial statements. You should discuss what amounts would appear in each financial statement.

Question

Stock Trader, Inc. began operations in 2005. Stock Trader has acquired a number of equity investments during 2005. None have been sold. Stock Trader exerts no influence over any of its investments each of which represents a small percentage of the investee. An analysis of Stock Trader's investment portfolios shows the following totals at December 31, 2005:
  Based on the information provided, describe how Stock Trader would present this information in its financial statements. You should discuss what amounts would appear in each financial statement.

Quizplus · Accepted Answer

The Answer of Stock Trader, Inc. began operations in 2005. Stock Trader has acquired a number of equity investments during 2005. None have been sold. Stock Trader exerts no influence over any of its investments each of which represents a small percentage of the investee. An analysis of Stock Trader's investment portfolios shows the following totals at December 31, 2005:
  Based on the information provided, describe how Stock Trader would present this information in its financial statements. You should discuss what amounts would appear in each financial statement.