The equity method of accounting for investments should be used when an investor owns: ...

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Accounting

The equity method of accounting for investments should be used when an investor owns:
A.1 percent to 9 percent of the voting common stock of a corporation and does not exercise significant influence over the
corporation.
B.10 percent to 19 percent of the voting common stock of a corporation and exercises significant influence over the
corporation.
C.20 percent to 50 percent of the voting common stock of a corporation and does not exercise significant influence over
the corporation.
D. More than 50 percent of the voting common stock of a corporation and exercises significant influence over the
corporation.
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