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Calculate the limit algebraically.
Entity Method
A consolidation method wherein investments in subsidiaries are reported at cost and income from the investment is recognized to the extent of dividends received.
Subsidiary
A company that is controlled by another company, typically through ownership of more than half of its voting stock.
Entity Method
An accounting approach where investments in subsidiaries are recorded at cost or in accordance with specific accounting standards, without consolidating the financial statements of the parent and subsidiary.
Carrying Value
The book value of assets and liabilities as recorded on the balance sheet, calculated as the original cost less any depreciation, amortization, or impairment costs.
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