Which of the following statements is incorrect?

If the investor has no significant influence over the investee, and can readily determine the fair value of the investment, the investor should report the investment at fair value.

If the investor has control over the investee, financial statements for the two companies must be consolidated.

If the investor has significant influence over the investee, the investor must use the equity method of accounting for the investment.

If the investor has no significant influence over the investee company, and the investment has no readily determinable fair value, the investment is reported at cost with unrealized gains and losses reported as part of other comprehensive income.