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To: Ausdauer who wrote (8660)1/12/2000 12:34:00 PM
From: orkrious  Respond to of 60323
 
Is it common for a company with equity interest in another company to recognize one time gains at the time that stock is issued, or only after the stock is sold?

When sold.

Jay



To: Ausdauer who wrote (8660)1/13/2000 6:37:00 PM
From: Art Bechhoefer  Read Replies (2) | Respond to of 60323
 
Shares held by one company in another company generally show up on the balance sheet as assets at cost (not market value). When the assets are sold at a profit, that produces a one-time gain in income, reported on the earnings sheet. Any dividends from stock would be reported as other income.


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