The way they will record the dividends if they use the fair value method vs. the equity method is A. They will report dividends as income under the fair value method but as a reduction in the investment under the equity method.
What is a Stock?
This refers to the shares of a company that denotes a certain ownership percentage for each buyer of the stock.
Hence, we can see that Williford Enterprises has purchased common stock from several companies and has classified them as long-term investments and option A best shows how they would record the dividends.
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