Multiple Choice
In the case of an investment in equity securities where the investor does not have significant influence and the investment is carried at fair value,a dividend from the investee is:
A) A reduction of the carrying amount of the investment.
B) Income to the investor in the period of declaration.
C) An expense to the investor in the period of declaration.
D) A direct increase to retained earnings of the investor to offset the direct decrease to retained earnings of the investee.
Correct Answer:
Verified
Correct Answer:
Verified
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