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A company accounts for its Investment in a subsidiary using the equity method. The reported net profit margin is 11%. An analyst adjusts the financials
A company accounts for its Investment in a subsidiary using the equity method. The reported net profit margin is 11%. An analyst adjusts the financials and determines that the company's own net profit margin is 9% while the subsidiary's profit margin is 8%. The net profit margin based on consolidation would most likely be: between 8% and 11% less than 9% less than 8% more than 11%
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