Under the Equity Method, the Purchase Price Discrepancy (PPD)is ________

Under the equity method, the purchase price discrepancy (PPD) is ________.

A) the difference between the carrying value of the investment in the books of the investee and the purchase price paid by the investor
B) the difference between the market value of the investment in the books of the investee and the purchase price paid by the investor
C) the difference between the implied cost of the investment in the books of the investee and the purchase price of the investor
D) the difference between the net present value of the investment in the books of the investee and the purchase price paid by the investor

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