With the equity method, the balance-sheet value of the investment changes according to the net income (the profit) of the "owned" company. Say your company owns 30 percent of a firm, and that firm ...

With the market-value method now firmly in place for other investments, dumping the equity method would be a small step. Nothing but indifference allows FASB to continue the half-hearted solution ...

When recognizing trading securities, use the fair value method if they are less than 20 percent, or the equity method if they range from 20 to 50 percent of the firm's capital.

Key Insights Using the 2 Stage Free Cash Flow to Equity, WH Smith fair value estimate is UK£8.62 With UK£10.08 ...

Nonvoting common stock or nonredeemable preferred stock if the investor is able to exercise significant influence and the stock does not meet the definition in FASB Statement no. 115, Accounting for ...

Key Insights Serviceware's estimated fair value is €13.36 based on 2 Stage Free Cash Flow to Equity Serviceware ...

allocating equity value between different classes of equity In 2004, the AICPA released its Practice Aid titled Valuation of Privately-Held-Company Equity Securities Issued as Compensation (please ...

Regular fair value adjustments will accumulate over time in order to keep the balance sheet in balance. If a company invests successfully in available-for-sale securities, the result will be an ...

The main tenet of value investing - buy when a stock is cheap, sell when it's not - requires some investigation into if and how it really works. This piece provides it.

If you're not familiar with the CCA, then you may know its variant, the Backsolve Method, which uses the same structure but solves for equity value backwards from a security value. Contingent claims ...

Equity investments: What is the fair value of the shares you hold? While calculating P/E ratio using trailing earnings, investors should take care to avoid differences in accounting methods by ...