Question: The FASB has used the term variable-interest entities to describe a company's relationship with other entities. Ownership may vary from none, to less than 50%,

The FASB has used the term "variable-interest" entities to describe a company's relationship with other entities. Ownership may vary from none, to less than 50%, to a 50-50 joint venture, to majority owned. Explain how the ownership interest in a related entity may vary and the effect of the ownership on the accounting used in preparing financial statements.

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