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1. ABC Corp purchases shares of XYZ corporation for $100,000 on 1/2/X2. This represents 10,000 shares, or 10% of the outstanding stock of XYZ Co.

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1. ABC Corp purchases shares of XYZ corporation for $100,000 on 1/2/X2. This represents 10,000 shares, or 10% of the outstanding stock of XYZ Co. Over the next 3 years, XYZ Co. reported the following: 20X2 20x3 20X4 Net Income 105,000 120,000 125,000 Dividends paid 30,000 41,000 55,000 Market price, 12/31 $9.50 $11 $11.50 For each year, what is reported income if ABC corruses equity method? Iffmy method is used? For each year, what is the ending investment value using the two different methods

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