Equity Method of Accounting

Definition:

Investors cost basis is adjusted up or down (in proportion to the % of stock ownership) as the investee's retained earnings fluctuation; used for long-term investments in equity securities of affiliate where holder can exert significant influence; 20% ownership or greater is arbitrarily presumed to have significant influence over the investee.

Related terms:

Performance Budget

Useful articles:

»	Insurance for Ailing Teams!
»	Networking Your Marketing Strategies
»	The Importance of a Good Web Page Title
»	Mastering Time Management

Refinance

Figure your principal and interest payments, how much you would save each month

Life insurance

How much life insurance do you need? Enter your current assets, expenses, income

Credit card

How long it will take to pay off your credit card and how much interest you will pay by minimum payment

Browse by categories

Accounting	Advertising	Banking
Bankruptcy	E-Commerce	Economics
Finance	Law	Investment
Insurance	Marketing	Real estate
Statistic	Trade	Purchasing

Featured Articles:

Motivation

Too Many Choices

Brian Holloway, a friend of mine and a great speaker, played football for the New England Patriots and Los Angeles Raiders. He was invited to the Pro Bowl for 5 years and won a Super Bowl ring. Rec... [ more... ]

E-commerce

Get Your Ducks in Order

Some people equate the cost of an item to its value. Others

comparison shop to try to find the best price. Maybe both are correct in a way, but most people try to look at the whole pi... [ more... ]

Marketing

Finish Line Sales Success Habits

Even before the tragedy of September 11 the United States economy was beginning to take a nose dive. Clearly since the attacks, customers are revisiting everything from budgets to personnel to comp... [ more... ]