001. 3 p. 692 PE 15-3A Equity method for $625,000. For the year ended December 31, Gruden Company earned income of $1108) On January 2, Peyroux Company acquired 35% of the outstanding stock of Gruden Coway and paid dividends of $26,000. Prepare the entries for Peyroux Company for the purchase the stock, the share of Gruden income, and the dividends received from Gruden Company