Assuming the acquisition price of Company S includes some differences between market and book values of depreciable assets, differences arise between the complete equity method and the partial equity method in how the accounts of the parent reflect:
A.) dividends
b) income
c) retained earnings
d) both b and c
Answer: d) both b and c
Business
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In preparing a cash budget, the ________ seasonal and uncertain a firm's cash flows, the ________ the number of budgeting intervals it should use
A) more; greater B) more; fewer C) less; greater D) less; fewer
Business
The expected return on MSFT next year is 12% with a standard deviation of 20%. The expected return on AAPL next year is 24% with a standard deviation of 30%. If James makes equal investments in MSFT and AAPL, what is the expected return on his portfolio
A) 20% B) 16% C) 18%% D) 25%
Business