Influential Investments in Securities:
The influential investment in securities has two integral parts. One is securities with significant influence and the other with controlling influence. The securities with significant influence give an opportunity to the investor to hold 20% or more but less than 50% of voting power. Whereas, when investors have 50% or more voting power then he is said to have controlling influence in the investments.
Non-Influential Investments in Securities:
The non-influential investments in securities is where the investor does not possess any kind voting power so as to influence the investee in any manner, they are solely related to investments and their periodic returns thereof.
To identify: Types of influential and non-influential investments.

Want to see the full answer?
Check out a sample textbook solution
Chapter C Solutions
FINANCIAL+MANAG.ACCT.(LOOSE)-W/CONNECT
- A company has provided the following dataarrow_forwardNet sales for the year were $3,750,000 and cost of goods sold was $2,625,000 for the company's flagship product line. The company is planning to release a new product extension which will need to be priced at $125 per unit to be competitive in the market. a. Calculate gross profit and the gross profit ratio for the year.arrow_forwardThe cash process receiving by the seller are ?arrow_forward
- AccountingAccountingISBN:9781337272094Author:WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.Publisher:Cengage Learning,Accounting Information SystemsAccountingISBN:9781337619202Author:Hall, James A.Publisher:Cengage Learning,
- Horngren's Cost Accounting: A Managerial Emphasis...AccountingISBN:9780134475585Author:Srikant M. Datar, Madhav V. RajanPublisher:PEARSONIntermediate AccountingAccountingISBN:9781259722660Author:J. David Spiceland, Mark W. Nelson, Wayne M ThomasPublisher:McGraw-Hill EducationFinancial and Managerial AccountingAccountingISBN:9781259726705Author:John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting PrinciplesPublisher:McGraw-Hill Education





