(Increase in Investments: Equity Method (v2420.01))
This balance sheet account represents investments in companies that are reported using the Equity Method (specified by APB 18). This method applies when the company:
Owns at least 20% but not more than 50% of the subsidiary's stock; and,
Intends to hold the investment for years.
In the forecast periods, by default, Strategic Finance forecasts this account as the Increase in Investments: Equity Method (v2420.01):
(v2420.00) Investments: Equity Method (prior period)
+ (v2420.01) Increase in Investments: Equity
+ (v2420.03) Earnings from Investments: Equity
- (v2420.05) Dividends from Subsidiaries
= (v2420.00) Investments: Equity Method