Asked by
Jorden Williams
on Nov 30, 2024Verified
The equity carrying amount of an investment will always be equal to the investor's proportional share of the net assets of the investee.
Equity Carrying Amount
The net amount at which an asset or liability is reported in the balance sheet, often referring to the value of an investment in another entity after adjustments.
Net Assets
The total assets of an entity minus its total liabilities, representing the owner's or shareholder's equity in the entity.
- Appraise the repercussions of dividends, revenues, shortfalls, and other adjustments on the accounting value of an investment.
Verified Answer
JM
Learning Objectives
- Appraise the repercussions of dividends, revenues, shortfalls, and other adjustments on the accounting value of an investment.