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A Business Writer Who Wants to Help Readers Rapidly Process

question 71

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A business writer who wants to help readers rapidly process and group the information in a report should


Definitions:

Subsidiary Company

A company that is controlled by another company, typically referred to as the parent company.

Dividend Income

Earnings received by shareholders from their investment in a corporation's stocks, typically in the form of cash dividends.

Investment in Associates

A long-term investment in another company where the investor holds a significant but not majority stake, typically 20%-50% of the voting stock.

Equity Method

An accounting technique used to record investments in associate companies, where the investment is initially recorded at cost and adjusted thereafter for the post-acquisition change in the investor's share of net assets of the investee.

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