Which of the following would provide the best form of evidential matter pertaining to the annual valuation of a long-term investment in which the entity owns a 45 percent voting interest?

Which of the following would provide the best form of evidential matter pertaining to the annual valuation of a long-term investment in which the entity owns a 45 percent voting interest? 



A. Market quotations of the investee company's stock.

B. The current fair value of the investee company's assets.

C. Historical costs of the investee company's assets.

D. Audited financial statements of the investee company.


Answer: Audited financial statements of the investee company.


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