Konica Company acquires $40\%$ of the voting stock of Lexmark Corporation on January $1,2018$ for $$60,000,000$ and treats it as an equity

method investment. The book value on that date was $$100,000,000.$ Book values approximated fair values except for machinery & equipment

that was undervalued by $$10,000,000(10$ year life$),$ building that was overvalued by $$4,000,000(4$ year life$).$ Konica also found previously

unrecorded intangibles of $$50,000,000($indefinite life$).$

Lexmark reports the following income and dividends:

Konica sells inventory to Lexmark at a markup of $25\%$ on cost and Lexmark sells to Konica at a markup of $30\%$ ond cost. The following inventory

balances are available:

Required:

a$.$ What is equity income reported by Konica on December $31,2021?$

b$.$ What is the balance in the Investment in Lexmark account on December $31,2021?$

DO NOT USE $ S SIGNS. PROVIDE YOUR ANSWER IN THIS FORMAT: $11,111,111$