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

a)When the investment is between 20 - 50% of the voting stock, regardless of whether or not significant influence can be achieved.

b)When the investment is greater than 50% of the voting stock, regardless of whether or not significant influence can be achieved.

c)When the investment is greater than 50% of the voting stock and significant influence can be achieved.

d)When the investment is between 20 - 50% of the voting stock and significant influence can be achieved.

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When accounting for investments in trading securities, any decline in market value below cost of the investments is reported in which of the following ways?

a)		On the income statement as a realized loss.
b)		On the income statement as an unrealized holding loss.
c)		On the balance sheet as a realized loss.
d)		On the balance sheet as an unrealized holding loss in the stockholders' equity section.