Under the equity method of accounting for investments, which of the following statements is true? a) Dividends received are recorded as revenue. b) Unrealized gains and losses are recorded in the income statement. c) Investments are initially recorded at fair value. d) The investor has significant influence over the investee. ***This question already posted and got correct answer. Don't answer this question If you answer i will give 10 dislikes.****

Under the equity method of accounting for investments, which of the following statements is true? a) Dividends received are recorded as revenue. b) Unrealized gains and losses are recorded in the income statement. c) Investments are initially recorded at fair value. d) The investor has significant influence over the investee. *This question already posted and got correct answer. Don't answer this question If you answer i will give 10 dislikes.**

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Concept explainers

Fringe Benefit Tax

Fringe benefits are in addition to the compensation that companies give to their employees. It is an additional benefit above the stated salary. It helps to keep the employees of the firm motivated as sometimes the only salary is not enough to retain the quality employees of the firm. There are different types of fringe benefits. Fringe benefits are given in both private as well as public enterprises.

Question

Under the equity method of accounting for investments, which of the following statements is true? a)
Dividends received are recorded as revenue. b) Unrealized gains and losses are recorded in the income
statement. c) Investments are initially recorded at fair value. d) The investor has significant influence over
the investee. ***This question already posted and got correct answer. Don't answer this question If you
answer i will give 10 dislikes.****

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