inority interest b) Equity in earnings of nonconsolidated subsidiaries c) Minority share of earnings
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Describe the following item
a) Minority interest
b) Equity in earnings of nonconsolidated subsidiaries
c) Minority share of earnings
Step by step
Solved in 4 steps
- Describe when to include the value of non-operating assets in a valuation of minority equityinterestsIn a consolidated statement of financial position, the non-controlling interest is shown: Group of answer choices As part of the total current liabilities of the group Separately within the equity section Separately within the non-current liabilities Separately within the non-current investmentsHow is non-controlling interest in the subsidiary’s net assets presented in the consolidated statement of financial position? a. Within equity but separately from the equity of the owners of the parents. b. Within equity as part of retained earnings. c. Any of these as a matter of accounting policy choice. d. As a mezzanine item between liabilities and equity.
- Which of the following measures the portion of a corporations profit allocated to each outstanding share of common stock? A. retained earnings B. EPS C. EBITDA D. NOPATrdinary share capitalOrdinary share capitalWhich of the following items would not form part of the shareholders' equity of a company on the statement of financial position? Select one: a. Retained profits b. Trade payables c. Share premium d. Ordinary share capitalThe difference between authorized share capital and issued share capital is known as __________. Select one: a. current share capital b. preference share capital c. ordinary share capital d. unissued share capital
- Which of the following items is not presented under the equity section of the statement of financial position? Share options outstanding Share warrants outstanding Share appreciation rights payable Share dividend payable/distributableQuestion: How do you account for non-controlling interests in consolidated financial statements using the equity method?Describe differences in voting rights and other ownership characteristics among different equity classes Directions: Complete the table.
- Which of the following is not normally found in the total equity section of a company's statement of financial position? A. Retained earnings B. Ordinary share capital C. Dividends payable to the ordinary shareholders D. Share premiumIdentify which category of shareholder's equity is affected by each item and briefly explain how it is affected. Restricted retained earnings by making an entry equal to the cost of treasury shares purchased.Which of the following statements is TRUE regarding the equity method? A. The equity method is used for reporting gains or losses for non-strategic investments. B. The investor's share of the associate's dividends declared is reported as revenue. C. The investor's investment in the associate changes in direct relation to the changes taking place in the associate's equity accounts. D. The equity method reports unrealized gains and losses on revaluations to fair value in net income.
