Which of one of the following statements concerning investments is correct:

Select one:

a.

Always record the purchase of 20% of the outstanding shares of another company as a strategic investment

b.

The balance of the investment account can differ from its fair value at year end when the equity method is used

c.

The balance of the investment account is reported at purchase cost less than any impairment losses when FVTPL is used

d.

Dividends received from an investment an associate is treated as investment income when the equity method is used

e.

When you use the FVTPL method, the profit reported by the other company is added to our investment account balance