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iogann1982 [59]
3 years ago
10

Under the equity method of accounting for investments, an investor recognizes its share of the earnings in the period in which t

he:_________.
a. investor sells the investment
b. investee declares a dividend
c. investee pays a dividend
d. earnings are reported by the investee in its financial statements
Business
1 answer:
Sphinxa [80]3 years ago
8 0

Answer: Earnings are reported by the investee in its financial statements

Explanation:

Equity method is when investments are being treated in associate companies and it is usually applied in cases whereby an investor entity holds about twenty to fifty percent of the associate company's voting stock. Due to this reason, it has a strong say in the associate company's management.

Under the equity method of accounting for investments, an investor recognizes its share of the earning in the period in which the earnings are reported by the investee in its financial statements.

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3 years ago
Which two forms of financial aid require the student to bear the costs of college education?
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4 years ago
All else equal, if there are diminishing returns, then which of the following is true if a country increases its capital by one
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Answer:

A.

The output will rise by more than it did when the previous unit was added.

Explanation:

7 0
2 years ago
Ann is a teacher who became interested in helping adults in some of the poorer neighborhoods learn how to read. She plans to sta
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5 0
3 years ago
a mature manufacturing firm. The company just paid a dividend of $8.65, but management expects to reduce the payout by 5 percent
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Answer:

$48.34%

Explanation:

Data provided in the question

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Based on the above information,

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