When the Equity Method Is Discontinued Due to There No

question 13

True/False

When the equity method is discontinued due to there no longer being significant influence, the investment carrying amount becomes the initial 'cost' recognition for whatever method takes its place.

---

Definitions:

Trading of Stocks

The act of buying, selling, or exchanging shares of companies listed on a stock exchange with the aim of generating a profit.

Investments

Assets purchased with the goal of generating income or appreciating in value over time.

Amazon Business

A business marketplace on Amazon providing business-to-business transactions and features like bulk pricing and business accounts.

Wholesalers

Businesses that buy goods in large quantities from manufacturers and then resell them in smaller quantities to retailers or other businesses.