Please answer Q9-3 , 4 , 8 and 9

LO2 E9-33. Assessing Financial Statement Effects of Equity Method Securities Use the financial statement effects template (with amounts and accounts) to record the tions involving investments in marketable securities accounted for using the equity method following transa- a. Madison Co. purchases 10,500 common shares of Landau Co. at $8 per share; the shares represe 25% ownership of Landau. b. Madison receives a cash dividend of $0.80 per common share from Landau. C. Landau reports annual net income of $60,000. d. Madison sells all 10.500 common shares of Landau for $93,000 QUESTIONS 09-1. What is a passive investment? Why do companies have passive investment? 092. What is an unrealized gain (loss)? Explain. 093. Where are unrealized gains and losses related to marketable equity securities 09-4. What does significant influence imply regarding intercorporate investm reported in the financial statements? rate investments? Describe the accounting procedures used for such investments On January 1 of th pan e current year, Yetman Company purchases 40% of the common stock of Livnat Com- y for $500,000 cash. This 40% ownershipallows Yetman to exert significant influence over Livnat. 09-5. ring the year, Livnat reports $160,000 of net income and pays S120,000 in cash dividends. At year-end, what amount should appear in Yetman's balance sheet for its investment in Livnat? What accounting method is used when a stock investment represents more than 50% of the investee 09-6. company's voting stock and allows the investor company to "control" the investee company? Explain. Q9-7. What is the underlying objective of consolidated financial statements? 09.8.4 What is a derivative? How do companies use them to hedge risk? 9-9.A For accounting purposes, what are the two types of hedges? How are unrealized derivative gains and losses treated under each accounting method