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For this scenario the Entity (EMAENT) has two bases:
STAT (uses the STAT equity method treatment)
GAAP (use the Other equity method treatment)
Any other bases that use the generic STAR method of accounting process the Open, Close, and Conversion transactions as they normally do in Eagle Accounting, while all of the Adjustment transactions are not available for generic STAR accounting bases.
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The ledger entries for each basis follow.
STAT Treatment and Other Treatment
Account | Account | Debit | Credit |
|---|---|---|---|
1010000100 | COST OF INVESTMENTS | 10,000.00 | 0.00 |
2002000100 | INVESTMENT PAYABLE | 0.00 | 10,000.00 |
This transaction creates a cash receivable record that settles separately.
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