Lee, Inc acquired 30% of Polk Corp.'s voting stock on January 1 , year 1 , for $100,000. During year 1, Polkearned $40,000 and paid dividends of $25,000. Lee's 30% interest in Polk gives Lee the ability to exercise significant influence over Polk's operating and financial policies. During year 2, Polk earned $50,000 and paid dividends of $15,000 on April 1 and $15,000 on October 1. On July 1, year 2 , Lee sold half of its stock in Polk for $66,000 cash. The carrying amount of this investment in Lees December 31 year 1 Balance Sheet should be $100,000. $104,500. $112,000. $115,000