For each of the following numbered situations below, select the best letter answer concerning accounting for investments:
	(A) Increase the investment account.
	(B) Decrease the investment account.
	(C) Increase dividend revenue.
	(D) No adjustment necessary.
A	(1.) Income reported by 40% owned investee.
D	(2.) Income reported by 10% owned investee.
B	(3.) Loss reported by 40% owned investee.
D	(4.) Loss reported by 10% investee.
_____	(5.) Change from fair-value method to equity method. Prior income exceeded dividends.
_____	(6.) Change from fair-value method to equity method. Prior income was less than dividends.
_____	(7.) Change from equity method to fair-value method. Prior income exceeded dividends.
_____	(8.) Change from equity method to fair-value method. Prior income was less than dividends.
B	(9.) Dividends received from 40% investee.
C	(10.) Dividends received from 10% investee.
A	(11.) Purchase of additional shares of investee.
_____	(12.) Investors share of gross profit from intra-entity inventory sales when using the equity method.