Equity Method Accounting, First Year

George Corporation acquired all of the stock of Johnson Corporation on January $2,2022.$ The book value of the net assets of Johnson on that date was $$100$ million and the fair

values of Johnson's identifiable net assets equaled the book values, except for previously unreported developed technology valued at $$80$ million. The fair market value of the

shares issued by George Corporation was $$800$ million. The developed technology is straight$-$line amortized over $5$ years.

For the year ended December $31,2022,$ Johnson reported net income of $$70$ million and declared and paid dividends of $$20$ million. Goodwill impairment for $2020$ is $$0$

million. The developed technology is not impaired. George uses the complete equity method to account for its investment in Johnson on its own books.

Required

a$.$ Calculate $2022$ equity in net income of Johnson, reported on George's books.

$$,vv$ million

b$.$ Prepare journal entries to record George's acquisition of Johnson and subsequent entries to the investment account for $2022.$ What is the December $31,2022,$

investment balance, reported on George's books?

Enter your answers below in millions.

ONLY THE WRONG ONE AND ITS NOT $800$ I TRIED THAT