- CFA Exams
- CFA Level I Exam
- Topic 3. Financial Statement Analysis
- Learning Module 11. Intercorporate Investments
- Subject 3. Investments in Associates
CFA Practice Question
Marketable equity securities carried as long-term investments and representing less than 50 percent but more than 20 percent of the voting stock are:
A. treated the same as current marketable securities, but are valued and reported as a separate portfolio.
B. valued at lower-of-cost-or-market, with changes in value reflected in net income.
C. accounted for under the equity method, unless there is evidence of inability to exercise significant influence over the trustee.
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