How does the use of the Equity Method of accounting for investments distort the information of the Net Income figure? The Equity Method of accounting for investments will have no effect on Net income When using the Equity Method cash is transferred to the firm from the investment only when it is available which causes timing distortions in the Net Income 1) A. B. C. Net income for the firm will change based on the investment even though no cash is transferred from the investment. More cash comes into the firm from the investment than is included in Net Income. D