What are some general criticisms of the equity method for investments in the ownership shares of another firm? Multiple select question. The liabilities of equity-method investees appear in the body of the investor's financial statements. By not including the investee's assets and liabilities in the investor's financial statement amounts, performance metric may be biased. Because the investor recognizes the investee's net income as it is earned, the equity method does not follow accrual accounting. Significant influence and control may not be properly defined by existing quantitative guidelines