Unique Skill ID: KS123MH78JSKSKNGJPP3

Equity Method

Equity method refers to an accounting technique used by companies to calculate the value of their investments in other companies where they have an ownership stake of between 20% to 50%. This method requires special skills to ensure that investment income is correctly accounted for, including understanding how to assess the fair value of the investment, how to calculate the value of the equity held, and how to report income from the investment on the company's financial statements. It is an essential tool for companies to make informed investment decisions and to accurately track and report their financial performance.

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This Skill is part of Lightcast Open Skills, a library of over 32,000 skills used by schools, communities, and businesses that has become the standard language.
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