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Significant Influence
The power to participate in the financial and operating policy decisions of another entity, but not control those policies, typically associated with ownership of 20% to 50% of voting shares.
Net Income
The total earnings of a company after subtracting all expenses from revenues, including taxes and operating expenses.
Equity Method
An accounting technique used to record investments in other companies, where the investment is initially recorded at cost and subsequently adjusted to reflect the investor's share of the investee's profits or losses.
Journal Entries
The basic way to record financial transactions in double-entry bookkeeping, involving debits and credits in accounting records.
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