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What is the equity method related to investment evaluation ?

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Question added by Abdallah Gaber Saber Maharik maharik , Finance Manager , Natpack
Date Posted: 2015/12/13
مقبول محمد جلال علي
by مقبول محمد جلال علي , General Accountant , شركة جودت للمقاولات

 

The equity method is a method of accounting for investments whereby initially prove investments on the basis of cost, it is then settled by the share of the company invested in the change in net assets of the investee which occurs after the date of acquisition, as the income investor's share in the results include operations of the investee. 

هيثم ناجى
by هيثم ناجى , محاسب اول , الفيوم لصناعة السكر

An accounting technique used by firms to assess the profits earned by their investments in other companies

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