Question
The following scenarios represent ownership percentages and degree of influence: Ownership Influence I. 10% No significant influ. II. 25% No significant influ. III. 40% Significant
The following scenarios represent ownership percentages and degree of influence:
| Ownership | Influence | |
| I. | 10% | No significant influ. |
| II. | 25% | No significant influ. |
| III. | 40% | Significant |
| IV | 55% | Control |
Which of the follwing statements is correct regarding external financial reporting in the above scnarios?
a. Use the fair value method under scenarios I and II
b. Use the equity method under scenarios II. and III
c. Use the equity method under scenarios I, II and III
d. Use the acquisition method under scenarios III and IV
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Iso 9000 Quality Systems Auditing
Authors: G. D. Green, Dennis Green
1st Edition
0566079003, 978-0566079009
