The last 5 problems demonstrate the various accounting methods we studied in Chapter 12 to account for Investments. Note that in only 2 of these methods (Problems 2 and 4) is the unrealized gain or loss on the investment recorded and reported in the Income Statement. In the other 3 cases, the unrealized gain or loss in generally either not recorded at all Problems 1 and 5), or if it is recorded, it is reported as a component of Other Comprehensive Income (OCI)(Problem 3).

For the 3 cases where the unrealized gain or loss is not generally reported in Net Income (Problems 1, 3, and 5), there were at least two exceptions mentioned in the chapter when an unrealized gain or loss on these investments WOULD be reported in Net Income. Describe briefly those two exceptions?