2 Pender Corp. paid $290,000 for a 30% interest in Saltspring Limited on January 1, Year 6. During Year 6, Saltspring paid dividends of $111,000 and reported profit as follows: Profit before discontinued operations Discontinued operations loss (net of tax) Profit $344,000 (33,300) $310,700 Pender's profit for Year 6 is calculated on $999,000 in sales, expenses of $111,000, income tax expense of $355,200, and its investment income from Saltspring. Required: a. Assume that Pender uses the cost method. Determine the correct balance in Pender's investment account at December 31, Year 6. b. Prepare an income statement for Pender for Year 6. (Negative amounts and deductibles should be indicated by a minus sign.) a) Assume that Pender uses the cost method. Determine the correct balance in Pender's investment account at December 31, Year 6. I Balance in Pender's investment account is b) Prepare an income statement for Pender for Year 6. (Negative amounts 11. b) Prepare an income statement for Pender for Year 6. (Negative amounts and deductibles should be indicated by a minus sign.) Pender Corp INCOME STATEMENT Year ended December 31, Year 6 I Paragraph V BIUA Sales Dividend Income Operating Expenses Income before Income Tax Income Tax Expense Profit bed