7) Investments accounted for using the equity method are initially recorded at: A) fair market value of the investee company multiplied by the percentage of ownership acquired B) the total of the investee's equity accounts multiplied by the percentage of ownership acquired C) cost D) the lower of the cost or fair market value as of the balance sheet date 8) The investor should generally use the equity method of accounting for the investee if the investor owns what percentage of the outstanding stock of the investee