A company should always use the equity method to account for an investment if:
A. it has the ability to exercise significant influence over the operating policies of the investee.
B. it owns 30% of another company's stock.
C. it has a controlling interest (more than 50%) of another company's stock.
D. the investment was made primarily to earn a return on excess cash.
E. it does not have the ability to exercise significant influence over the operating policies of the investee.