Investor Co. reports under IFRS and has a December 31^st year end. On January 1, 2020, Investor purchased 3000 shares (30%) of the outstanding common shares of Tee Inc. for $28/share in cash.

Tee provided the following statement of comprehensive income for the year ended Dec 31, 2020:

Net income	$22,500
Other comprehensive income	600
Comprehensive income	$23,100

Tee paid dividends of $1.20 per share during the year. Due to recent uncertainty in Tees industry, shares were trading at $26.50 per share at year end.

Investors accountant is still investigating whether it will need to classify the investment as an investment in associate or FVTOCI.

Required:

1. Prepare the 2020 journal entries for Investor Co for the investments assuming the investment is classified as :

i) investment in associate (equity method)

ii) FVTOCI

1. Calculate the value of the investment in Tee on the balance sheet of Investor at December 31, 2020 as classified as:

1. investment in associate

ii) FVTOCI

2. Use the below chart to show the effect (+/- $) on comprehensive income depending how the investment is classified. Include all calculations below your chart.

	(i) Invest in Associate	(ii) FVTOCI
Net income
Other comprehensive income
Comprehensive income

3. Assume Investor Co. has 100,000 common shares outstanding through the year and has no preferred shares. Which treatment would result in a better earnings per share (EPS) for 2020 for Investor? Explain showing your calculations of EPS for both.