When applying the equity method, how is the excess of cost ower book value calculated and accounted for?

Multiple Choice

The eacess is allocated to the difference between far value and book value multiplicd by the percent ownership of current assets.

The excess is allocated to the difference between fair wolue and book volue mulipliext try the percent owrerhip of total assets.

The excess is allocated to the difference between far valae and book value milipled ty the percent ownership of not assets

The excess is allocoled to goodmil.

The excess is ignored.