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Accounting
Handwrite in text plz not in pic since its hard to read from and plz dont copy answers that were answered before least 2-3 paragraphs
1. Discuss and explain three reasons that companies invest in debt and equity securities.
2. Explain what method is used to account for investments in equity securities with 20% to 50% ownership. Briefly describe how dividends received and share of net income are accounted for under this method
3. Explain the difference between absolute advantage and comparative advantage. Which is the basis for international trade, and why?
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