Question: When is the equity method used to account for long-term investments in common stock? When the investment is between 20% and 50% of the voting

When is the equity method used to account for long-term investments in common stock?

  • When the investment is between 20% and 50% of the voting stock, regardless of whether or not significant influence can be achieved
  • When the investment is greater than 50% of the voting stock, regardless of whether or not significant influence can be achieved
  • When the investment is between 20% and 50% of the voting stock and significant influence can be achieved
  • When the investment is greater than 50% of the voting stock and significant influence can be achieved

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