Which of the Following Is True Regarding the Change from the Fair-Value

question 47

Multiple Choice

Which of the following is true regarding the change from the fair-value method to the equity method?

• A) Dodge must record a debit to additional paid-in capital in the amount of $200,000.
• B) Dodge must record a debit to additional paid-in capital for $15,000.
• C) Dodge must retrospectively apply the equity method to interests reported under the fair-value method.
• D) Dodge must record a debit of $200,000 to the Gates Investment Account.
• E) Dodge must record a credit of $15,000 to the Gates Investment Account.

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Definitions:

American Medical Technologists (AMT)

A professional organization for allied health professionals that offers certification and continuing education.

Allied Health Professionals

Healthcare workers who provide a range of diagnostic, technical, therapeutic, and direct patient care and support services that are critical to the health care delivery system.

Certification

A process by which an individual or organization is recognized as being competent to perform certain tasks or meet certain standards.

Multi-provider Clinic

A healthcare facility where multiple healthcare providers offer a variety of medical services under one roof.