Accounting Principles - Standalone book
Accounting Principles - Standalone book
12th Edition
ISBN: 9781118875056
Author: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
Publisher: WILEY
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Chapter 16, Problem 7Q

(a)

To determine

Equity Method: Under equity method if investor owned between 20% and 50% of common stock of the company, the stockholder will exercise the right to influence the decisions of the company.

To explain: Accounting under equity method.

(b)

To determine

To explain: Revenue recognition under equity method.

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