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Acker Inc. bought 40% of Howell Co. on January 1, 2020 for $576,000. The equity method of accounting was used. The book value and fair

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Acker Inc. bought 40% of Howell Co. on January 1, 2020 for $576,000. The equity method of accounting was used. The book value and fair value of the net assets of Howell on that date were $1,440,000. Acker began supplying inventory to Howell as follows: Year 2020 2021 Cost to Acker $55,000 $70,000 Transfer Price $ 75,000 $110,000 Amount Held by Howell at Year- End $15,000 $55,000 Howell reported net income of $100,000 in 2020 and $120,000 in 2021 while paying $40,000 in dividends each year. What is the balance in Acker's Investment in Howell account at December 31, 2021? Multiple Choice $656,000. $666,000. o $646.000 O $636,000. O O $624,000

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