any one else see a conflict between this and the associated review on page 126, or am I just running out of gas?
the fsa book? their answer looks ok to me. COGS you’d take co C’s 7k plus 50% of JVC’s 2k, so 8k total. NI remember is ALWAYS going to be the same no matter if you use the equity method (they did on the I/S on pg 144- you can tell by the “equity in JVC earnings” single line item) or prop consolidation or full consolidation. just drill it into your head now- same NI, same equity, same ROE. pretty much all other ratios will look more favorable under equity method than consolidation. i’m about to call it a day. finished the SS5 reading- going to drill through the schweser and CFAI problems tomorrow.