10 points QUESTION 7 1. Quiz Company acquired 10% of the outstanding common stock of Another Company of January 1, 2020 for $4 million. On the date of acquisition, the fair value of Another Company's net assets exceeded the book value by $800,000. Half of the difference was attributable to land, and half was attributable to a building with a remaining useful life of 10 years. During 2020, Another Company paid dividends of $500,000. For the year ended December 31, 2020, Another Company reported net income of $1 million. As of December 31, 2020, the fair value of Another Company common stock held by Quiz Company was $3.75 million. As a result of the investment, pre-tax income for the year ended December 31, 2020 would c Increase by $96,000 Decrease by $250,000 Increase by $50,000 Decrease by $200,000