Need help with C-E Recall that Great Adventures originally was financed with $10,000 in equity financing from Tony (common stock), $10,000 in equity financing from Suzie (common stock), and $30,000 in debt financing (bank loan). This financing structure means that Tony and Suzie each own 50% of the company and is commonly referred to as a 50-50 joint venture. The equity method of accounting is used to account for 50-50 joint ventures. In Chapter 3, we accounted for the equity contributions from Tony and Suzie from the perspective of Great Adventures (see RWP39). Well now consider this investment from the perspective of Suzie, one of the Great Adventures investors. The following transactions occurred during 2024 and relate to Suzies investment in Great Adventures: July 1 Suzie buys $10,000 in Great Adventures common stock. December 31 Suzie receives a $2,000 dividend from Great Adventures December 31 Great Adventures reports net income of $37,150. December 31 Suzie estimates that the fair value of her investment in Great Adventures is $18,000.

1. Assume Suzie accounts for her investment in Great Adventures using the equity method.

(a) Record Suzies investment in Great Adventures on July 1.

(b) Record the receipt of dividends from Great Adventures on December 31 using the equity method.

(c) Record Suzies share of Great Adventures 2024 net income using the equity method.

(d) Record the adjusting entry for the fair value on December 31.

(e) Determine the ending balance in Suzies Investment account related to Great Adventures.