kestral inc owns 10% of mouse company. in the most recent year, mouse had net earnings of 60,000 and paid dividends of 8,000. kestral's accountant mistakenly assumed considerable influence and used the equity method instead of the cost method. what is the ompact on the investment account and net earnings, a. understate and overstate b. overstate and understate c. overstate and overstate d. understate and understate