Final answer:
The statement that two of the journal entries prepared under the proportionate share method of accounting are identical to those under the equity method is false. While both methods involve recognizing profits and losses, they differ in the financial reporting process.
Step-by-step explanation:
The student is asking whether two journal entries prepared by an investor in an unincorporated joint venture using the proportionate share method of accounting are identical to the journal entries prepared under the equity method of accounting. This statement is generally false. While both methods involve recognizing the investor's share of profits and losses, they differ in how the investment is recorded and reported in the financial statements. Under the proportionate share method, the investor includes his share of assets, liabilities, revenues, and expenses of the joint venture in his own financial statements. However, under the equity method, the investor records the investment as a single line item on the balance sheet and recognizes only his share of the joint venture's net income or loss in his income statement. Therefore, it is unlikely that the journal entries under these two methods would be identical.