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If One Company Owns More Than 20% of the Shares

question 1

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If one company owns more than 20% of the shares of another company and the shares are being held as a long-term investment,which method would normally be used to account for this investment?


Definitions:

Hippocampus

A region of the brain that is associated with memory formation, organization, and storage.

Cerebral Cortex

The outer layer of the brain, vital for complex cognitive processes such as thought, memory, language, and consciousness.

Limbic System

A group of several brain structures located primarily under the cortex and involved in learning, emotion, memory, and motivation.

Cerebral Cortex

The outer layer of the brain, involved in complex functions such as thought, perception, language, and consciousness.

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