Equity investments. We make them in our brokerage accounts, yet many of us may not be too familiar with the equity investments made by companies in our portfolios. Investors won't find these results on the revenue or operating-profit lines of the income statement, so its important to understand just how these results influence financial results. In the following video, Brenton walks through a few companies that generated a significant percentage of their net income last year from their equity investments, and why this can be an important accounting concept to be aware of when researching and comparing companies.
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