APB 18: The Equity Method of Accounting for Investments in Common Stock

INTRODUCTION
The Accounting Principles Board expresses in this Opinion its views on the equity method of accounting for investments in common stock. This Opinion extends the applicability of the equity method of accounting (paragraph 6(b)) to investments in common stock of corporate joint ventures and certain other investments in common stock. This Opinion supersedes paragraphs 2, 3 and 4 of APB Opinion No. 10 and amends paragraphs 19, 20 and 21 of Accounting Research Bulletin No. 51 to the extent that they relate to the equity method of accounting.