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On January 1, 2007. Firewire Company acquired 40 percent of Browser Company's common stock at underlying book value. During 2007 and 2008. Browser reported net

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On January 1, 2007. Firewire Company acquired 40 percent of Browser Company's common stock at underlying book value. During 2007 and 2008. Browser reported net income of $90,000 and $50,000 and paid dividends of $40,000 and $60.000, respectively. Firewire reported a balance in its investment account of $230,000 on December 31, 2008. It uses the equity method in accounting for this investment. Based on the preceding information during 2008. Firewire will report: O a. a decrease in the investment account balance of $4.000. O b. a decrease in the investment account balance of $8.500. O c. an increase in the Investment account balance of $20.000. d. an increase in the investment account balance of $16,000. Clear my choice

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