However, the way that would make more sense to me would be:
Unrealized losses = 10% of 3M = 300,000
dividends = 10% of 20m = 2m
However, in several instances in the book, i realize that for unrealized losses/ gains, they assume that they own 100% of the shares of the company. Does anyone know why that is?
If they only own 10% of the company, then they shouldn't be hit with the entire burden of the $3m decrease in value.
