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Trading Investments
Assets that a company primarily buys and sells to generate profit from short-term fluctuations in price.
Cost Method
An accounting approach used to record investments where the investment is listed at its acquisition cost, without recognizing periodic changes in market value.
Equity Investment
An investment in stock or shares representing ownership interest in a company.
Equity Method
An accounting technique used to record investments in other companies, recognizing income in proportion to the investor's share of the company's earnings.
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