E9-37. Interpreting Equity Method Investment Footnotes AT&T reports the following footnote to its 2018 10-K report. LO2 AT&T 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. $ millions 2018 2017 $1,674 51 Beginning of year .. Additional investments Time Warner investments acquired Acquisition of remaining interest in Otter Media Equity in net income of affiliates. Dividends and distributions received Sale of Amrica Mvil shares. Other adjustments End of year... $1,560 237 4,912 (166) (48) (243) (14) 7 (128) (46) 22 (13) $1,560 $6,245 Undistributed earnings from equity affiliates were $292 and $174 at December 31, 2018 and 2017, respectively. 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