Which one is used depends on the way the companies' balance sheets and income statements report these partnerships. Note that since 2013, for the most part, only the equity method is still in use.

However, the company's balance sheet size is reduced, as its assets and equity are reduced ... depending on the accounting method employed. Gross profit is the profit a company makes after ...

A dividend is a method of redistributing a ... Cash dividends affect the cash and shareholder equity on the balance sheet; retained earnings and cash are reduced by the total value of the dividend.