. Distinguish accounting between the cost and equity methods of for investments in stocks.

Q: Where on the financial statements is an unrealized holding gain or loss on trading investments…

A:

Q: The two main approaches to equity analysis are the relative valuation models and…

A: Equity valuation is used by analysts to evaluate or analyze a company or a group of companies by…

Q: how to find total stockholders equity

A: Accounting Equation has to be considered as the origination of the double entry system. Under…

Q: Demonstrate how to identify and account for equity investments accounted forunder the equity method

A: Equity method requires the investor to recognize investment income equal to its share percentage…

Q: Explain Liabilities and Stockholders' Equity?

A: Liabilities: Liabilities are debts and obligations payable by the corporation. A liability is a…

Q: Define Equity method.

A: Equity Method:   Equity method is a accounting method used for inter corporate  investments. when…

Q: Describe related stockholders’ equity statements.

A: Stockholders’ equity statement: This statement shows the changes made in the stockholders’ equity…

Q: What is Asset allocation:          A)   choosing which securities to hold based on their valuation.…

A: Investment strategy is referred as a guide to the investors at the time of investment decision…

Q: Describe the accounting for investments in equity securities.

A: Equity securities: The financial instruments that claim ownership in the stock of Investee Company,…

Q: For trading investments, provide the following: Reporting method used How unrealized holding gain…

A: TRADE INVESTMENT:             Trading is a technique of holding shares and stocks for a short period…

Q: What are the similarities and differences between an overall rate and an equity dividend rate?

A: Answer: Equity is nothing but the difference between asset owning values and liabilities against…

Q: Explain the accounting for stock-appreciation rights plans.

A: Share Appreciation Rights (SARs): The awards which offer the employees the right to receive either…

Q: What are the different types of equity capital? Give some examples?

A: Equity capital are the funds invested by the owners in the company. The equity holders of the owners…

Q: Indicate how unrealized holding gains and losses should be reported for investments classified as…

A: Unrealized holding gains and losses: An unrealized gain is a profit recorded on paper results from…

Q: When is a gain or a loss from a cash flow hedge reported in earnings?

A: Cash flow hedge: If a company uses any derivative to cover the risk due to cash flow changes to…

Q: other comprehensive income

A: Other comprehensive income includes gains or losses that are not included in profit and loss…

Q: Define the term Stock Appreciation Rights.

A: Stock: It refers to a security issued in a form of certificate. It implies the right of ownership of…

Q: Debt in the capital structure could be treated as if it were common stock in the weighted average…

A: Debt in the capital structure could be treated as if it were common stock in the weighted average…

Q: Define the terms paid-in capital and retained earnings.

A: Paid in capital: Paid in capital represents the total amount invested by the shareholders of the…

Q: What is the difference between a Stock Account and in equity and Paid-in-Capital account? Are they…

A: Step1: Difference between stock account, equity account and paid-in capital account. We have,Stock…