Reference no: EM131756508

Question: Cameco Corp., a publicly traded company and the worldâ€^TMs largest producer of uranium concentrates, has several long-term investments, including a 100% investment in Cameco Europe, a 23.3% investment in UEX Corporation (a publicly traded company that Cameco does not want to trade), and a 24% interest in GE-Hitachi Global Laser Enrichment LLC (a private corporation with no determinable fair value that Cameco does not wish to trade).

(a) Indicate whether each of the above investments should be accounted for using the cost model, the fair value through profit or loss model, or the equity method.

100% Cameco Europe             Fair Value ModelEquity MethodCost Model

23.3% UEX                           Equity MethodFair Value ModelCost Model

24% Global                           Fair Value ModelEquity MethodCost Model