ABC Corp purchases shares of XYZ corporation for $110,000 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 the reported income if ABC Corp reports investment income using the equity method or fmv method?

For each year, what is the reported investment balance on the balance sheet under both methods?