=+EX 15-10 Equity method for stock investment obj. 3

✔

b. $4,565,760 Corvis Company’s balance sheet disclosed its long-term investment in Mid-American Company under the equity method for comparative years as follows:

Dec. 31, 2011 Dec. 31, 2010 Investment in Mid-American Company stock (in millions) $98 $90 In addition, the 2011 Corvis Company income statement disclosed equity earnings in the Mid-American Company investment as $10 million. Corvis Company neither purchased nor sold Mid-American Company stock during 2011. The fair value of MidAmerican Company stock investment on December 31, 2011, was $107.