Acme Enterprise purchased 30% of the stocks United Appliance Inc. for $1,500,000 on 1/1/2012, and accounts for the investment using the equity method (which requires one-line consolidation). In 2012, United Appliance had total revenue of $800,000 and total expenses of $600,000, and paid dividends of $100,000.

Required:

Record the transaction of purchase

2) recognize income

3) recognize dividend for Acme Enterprise

Calculate the balance of Acmes investment account as of 12/31/2012.