Investments in Financial Assets

Jan 18, 2014

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in Level I Financial Reporting and Analysis, Level II Financial Reporting and Analysis

When one company buys securities (stock or bonds) issued by another company, the accounting treatment for those investments depends on the amount of influence/control that the investing company has over the issuing company. When the investor has no influence (generally assumed when the investment represents less than 20% ownership), then the investment is treated as […]

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