On April 1, 20X1, Corporation purchased $100,000 of 7%, 5-year bonds dated April 1, 20X1, at 101. Interest is paid on March 31 and September 30. Assuming use of the straight-line amortization method, the proper amount of income to record on September 30, 20X1 is: a. $7,000 b. $3, 400 c. $3, 500 d. $3, 500 On January 1, 20X2, Miller Corporation purchased $100,000 of 5%, 10-year bonds dated January 1, 20X2, at 98. Interest a paid on June 30 and December 31 of each year. Assuming use of the straight-line amortization method, the proper amount to report for Investment in Bonds at December 31, 20X3 is: a. $98, 400 b. $98, 400 c. $100,000 d. $101, 600 Investor Corporation owns 30% of investee Corporation. Investee had net earnings of $100,000 during the year and paid dividends of $30,000. Investor's investment in Investee account contained a $70,000 balance at the beginning of the year. What would be the correct balance of this account at the end of the year