Term
| Available-for-sale securities |
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Definition
| Debt or equity securities that do not meet the criteria for trading or held-to-maturity securities. |
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Term
| Consolidated financial statements |
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Definition
| Financial statements that reflect the combined operations of a parent company and its subsidiaries. |
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Term
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Definition
| An investing company's abilitiy to decide the operating and financial policies of another firm because it owns more than 50 percent of that firm's voting stock. |
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Term
| Cost-adjusted-to-market method |
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Definition
| A method of accounting for available-for-sale securities at cost adjusted for changes in the securities' market value. |
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Term
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Definition
| Entries made on consolidated work sheets to eliminate transactions between parent and subsidiary companies. |
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Term
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Definition
| A method of accounting for influential but noncontrolling long-term investments in which the investment is initially recorded at cost and is then adjusted for the investor's share of the company's net income or loss and for dividends. |
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Term
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Definition
| The excess of the purchase price of business over the fair market value of its net assets. Also called goodwill from consolidation. |
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Term
| Held-to-maturity securities |
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Definition
| Debt securities that management intends to hold until their maturity date. |
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Term
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Definition
| Making use of inside information for personal gain. |
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Term
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Definition
| Investments with a maturity of more than 90 days but that are inteded to be held only until cash is needed to pay current obligaions. Also called short-term investments. |
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Term
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Definition
| An amount recorded on a consolidated balance sheet that represents the hodings of owners of less than 50 percent of a subsidiary's voting stock. |
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Term
| Multinational or transnational corporations |
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Definition
| Companies that expand by establishing or buying foreign subsidiaries. |
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Term
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Definition
| A company that has a controlling interest in another firm. |
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Term
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Definition
| A method of accounting for controlling investments in which similar accounts from the parent's and subsidiaries' statements are combined. |
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