On January $1,2024,$ Cameron Incorporated bought $20\%$ of the outstanding common stock of Lake Construction Company for $$300$ million cash, giving Cameron the ability to exercise significant influence over Lake's operations. At the date of acquisition of the stock Lake's net assets had a fair value of $$900$ million. Its book value was $$800$ million. The difference was attributable to the fair value of Lake's buildings and its land exceeding book value, each accounting for one$-$half of the difference. Lake's net income for the year ended December $31,2024,$ was $$150$ million. During $2024,$ Lake declared and paid cash dividends of $$30$ million. The buildings have remaining life of $10$ years.

Required:

Complete the table below and prepare all appropriate journal entries related to the investment during $2024,$ assuming Cameron accounts for this investment by the equity method.

Determine the amounts to be reported by Cameron.

Complete this question by entering your answers in the tabs below.

Calculation

Determine the amounts to be reported by Cameron.

Note: Amounts to be deducted, including losses and cash outflows, should be indicated with a minus sign. Enter your answers in millions, $($i$.$e$.,10,000,000$ should be entered as $10).$

Prey

$4$ of $4$

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