AT&T reports the following footnote to its 2012 10-K report ($ millions).

a. At what amount is the equity investment in affiliates reported on AT\&T's balance sheet?

b. Did affiliates pay dividends in 2012? How do you know?

c. How much income did AT\&T report in 2012 relating to this investment in affiliates?

d. Interpret the AT\&T statement that "undistributed earnings from equity affiliates were \(\$ 6,375\) and \(\$ 5,760\) at December 31, 2012 and 2011."

e. How does use of the equity method impact AT\&T's ROE and its RNOA components (net operating asset turnover and net operating profit margin)?

f. AT\&T accounts for its investment in affiliates under the equity method. Why?

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Equity Method Investments Investments in partnerships, joint ventures and less than majority-owned subsidiaries in which we have significant influence are accounted for under the equity method... The following table is a reconciliation of our investments in equity affiliates as presented on our Consolidated Balance Sheets.