Type of long-term equity investment
The types of long-term equity investment mainly include:
1. Long term equity investment of associated enterprises;
2. Long term equity investment of the joint venture;
3. Long term equity investment in subsidiaries by means of business merger, etc.
Long term equity investment refers to the equity investment held by an enterprise in its subsidiaries, joint ventures and associated enterprises, as well as the equity investment held by an enterprise that has control, joint control or significant influence on the investee, and has no quotation in the active market and its fair value cannot be reliably measured.
In accounting practice, the long-term equity investment of an enterprise should be accounted through the "long-term equity investment" title, the "dividend receivable" title, and the "bank deposit" title.