Park Co. uses the equity method to account for its January 1, 2011,purchase of Tun Inc.'s common stock. On January 1,2011, the fair value of Tun's FIFO inventory and land exceeded their carrying amounts. How do these excesses of the fair values over carrying amounts affect Park's reported equity in Tun's 2011 earnings?

Inventory Excess / Land Excess

A) Decrease Decrease

B) Decrease No effect

C) Increase No effect

D) No effect Increase