Rye Company Purchased 15% of Lena Company's Common Stock During

Rye Company purchased 15% of Lena Company's common stock during 2012 for $150,000. The 15% investment in Lena had a $160,000 fair value at the end of 2012 and a $140,000 fair value at the end of 2013. Which of the following statements is incorrect if Rye classifies the investment as an available-for-sale security?

A) The 2013 unrealized loss is $10,000 and is included in Rye's 2013 net earnings.
B) The 2012 unrealized gain is $10,000 and is reported on Rye's statement of financial position as a component of stockholders' equity.
C) The 2012 unrealized gain is $10,000, but is not included in Rye's 2012 net earnings.
D) The 2013 unrealized loss is $20,000, but is not included in Rye's 2013 net earnings.