Pink Partners holds an available-for-sale equity investment with a carrying value of $40,000. The current fair value of the investment is $24,000. There is objective evidence of this impairment and the impairment is other-than-temporary. Should an impairment loss be recorded? How much of this loss should be classified in net income and how much should be classified in other comprehensive income?

A. Yes, there is an impairment loss of $16,000. However, there is not enough information to determine if this loss should be recorded in Net Income or as part of Other Comprehensive Income.

B. Yes, the $16,000 impairment loss should be split evenly between net income and other comprehensive income.

C. Yes, the $16,000 impairment loss should be reported as part of net income.

D. No, an impairment loss should not be recorded because this is an equity investment