Explain the difference between the cost method, the equity method, and the fair value method

Cost Method Versus the Equity Method [CLO: 4]

Prior to beginning work on this discussion forum, read Chapter 2 of your course text-

Christensen, T.E., Cottrell, D.M., & Budd, C.J.H. (2019). Advanced financial accounting (12th ed). McGraw-Hill Education.

Review the Chapter 2: Reporting Intercorporate Investments and Consolidations of Wholly Owned Subsidiaries with no Differential PowerPoint presentation.

Explain the difference between the cost method, the equity method, and the fair value method. Provide examples to support your explanations.

 

Cite Text and Powerpoint as references

 

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