On Jan. 1, 2020, you made two investments, one in Co. A and the other in Co. B. Required: 1. Assume you invest in Co. A and Co. B debt at face value and classify your investments as available for sale. Determine dollar amounts for each of the following. For balances, label the amount as either a "debit" or "credit" balance. For income effects, indicate an increase as a "+" (plus) and a decrease as a "-" (minus). Note that Cost, NI, Interest Paid, FMV, and Selling Price are the amounts related to your specific holdings. Year 1 Year 2 Interest Dec. 31 Selling Interest Dec. 31 Co. A Co. B Cost $28600 NI Paid FMV Price NI Paid FMV $3580 $400 $13380 $19100 32900 8550 1170 47280 $3270 $360 $52020 a. The balance in the combined Investment in account is: End of Yr. 1 End of Yr. 2 b. The balance in the combined Fair Value Adjustment account is: End of Yr. 1 End of Yr. 2 c. The balance in the combined Unrealized Loss (Gain) account in AOCI is: End of Yr. 1 End of Yr. 2 d. The effect of these investments on net income is: Yr. 1 Yr. 2 2. Assume you invest in Co. A and Co. B equity with both investments accounted for using the Equity Method. Determine dollar amounts for each of the following. For balances, label the amount as either a "debit" or "credit" balance. For income effects, indicate an increase as a "+" (plus) and a decrease as a "-" (minus). Note that Cost and Selling Price are the amounts related to your specific holdings. However, NI, Dividends Paid, and FMV are the totals reported by each company for that year. Year 1 Year 2 % Own Cost NI Co. A 20% $28600 $17900 Co. B 30% 32900 28500 Dividends Dec. 31 Paid $2000 Selling FMV $66900 Price $19100 NI Dividends Dec. 31 Paid FMV 3900 157600 $10900 $1200 $173400 a. The balance in the combined Investment in account is: End of Yr. 1 End of Yr. 2 b. The effect of these investments on net income is: Yr. 1 Yr. 2