3. Big Company owns 30 percent of the 60,000 outstanding shares of Small Company, an investment...

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3. Big Company owns 30 percent of the 60,000 outstanding shares of Small Company, an investment accounted for by the equity method. Any excess investment costs over Big's share of Small's book value is considered goodwill. Although these 18,000 shares were acquired some years ago for $150,000, application of the equity method has increased the asset balance to $310,000 as of January 1, 2021. On April 1, 2021, Big elects to sell 2,000 of these shares (one ninth of its investment) for $30,000 in cash, thereby reducing ownership in Small from 30 percent to 27 percent. Small Company reports net loss of $50,000 and declared and paid dividends of $20,000 during the first three months of 2021. What is the journal entry to record the sale of Big Company's 2,000 shares? 3. Big Company owns 30 percent of the 60,000 outstanding shares of Small Company, an investment accounted for by the equity method. Any excess investment costs over Big's share of Small's book value is considered goodwill. Although these 18,000 shares were acquired some years ago for $150,000, application of the equity method has increased the asset balance to $310,000 as of January 1, 2021. On April 1, 2021, Big elects to sell 2,000 of these shares (one ninth of its investment) for $30,000 in cash, thereby reducing ownership in Small from 30 percent to 27 percent. Small Company reports net loss of $50,000 and declared and paid dividends of $20,000 during the first three months of 2021. What is the journal entry to record the sale of Big Company's 2,000 shares?