Which of the following results in an increase in the Equity in Investee Income account when applying the equity method?
A. Amortizations, since date of purchase, of purchase price over book value on date of purchase.
B. Amortizations of purchase price over book value on date of purchase.
C. Sale of a portion of the investment at a loss.
D. Investor's share of gross profit from intra-entity inventory sales for the prior year.
E. Sale of a portion of the investment at a gain to the investor.
Answer: D
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