Abstract
Although there are two views that interpret the equity method as measurement basis and as one-line consolidation, in the contemporary financial accounting, there is no fixed interpretation on which view has been adopted. This study aims to analyze how the significance of the equity method has been changed in the history. For this purpose, this study reviewed the US-GAAP in comparison with EFARG（ 2014）. Consequently, this study observed that the interpretation of the equity method has been changed from one-line consolidation to measurement basis.
