Question: Refer to question #13. After you explain the appropri- ate accounting to the student, she comes to you with questions. She is confused about the

Refer to question #13. After you explain the appropri- ate accounting to the student, she comes to you with questions. She is confused about the equity method. Explain how the equity method of accounting for investments is different from other investment valuations. What information will the equity method provide for a user of the financial statements?

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