Exercise 22-23 Riverbed Corp. was a 30% owner of Marin Company, holding 210,000 shares of Marin's common stock on December 31, 2016, The investment account had the following entries. Investment in Marin $3,320,000 12/6/15 Dividend received 1/1/15 Cost 12/31/15 Share of income 12/31/16 Share of income 380,00012/5/16 Dividend received 490,000 $160,000 260,000 On January 2, 2017, Riverbed sold 126,000 shares of Marin for $3,410,000, thereby losing its significant influence. During the year 2017, Marin experienced the following results of operations and paid the following dividends to Riverbed Marin Income (Loss) Dividends Paid to Riverbed 2017 At December 31, 2017, the fai value of Marin shares held by Riverbed is $1,550,000, This is the first reporting date since the January 2 sale. (b) Compute the carrying amount of the investment in Marin as of December 31, 2017 (prior to any fair value adjustment) Carrying amount $320,000 548,000 (c) Prepare the adjusting entry on December 31, 2017, applying the fair value method to Riverbed's long-term investment in Marin Company securities, (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit Dec. 31, 2017