On January 1, 2018, D, Incorporated, paid $88,959 for a 30% interest in S Corporation. This investee had assets with a book value of $500,000 and liabilities of $300,000. A patent held by S Inc having a book value of $10,000 was actually worth $48,000 with a four year remaining life. Any goodwill associated with this acquisition is considered to have an indefinite life. During 2018, S Inc reported income of $55,900 and paid dividends of $28,900 while in 2019 it reported income of $79,900 and dividends of $29,900. Assume D Inc. Has the ability to significantly influence the operations of S Inc. During the 2018, S Corporation selling inventory costing 40,000 to to D Corporation for 60,000 at the end of fiscal year, D Inc, still retain 20,000.. During the 2019 S Corporation selling inventory costing 35,000 to to D Corporation for 50,000 at the end of fiscal year, d Inc. still retain 15,000. The retain inventoy was selling at the beginning of the following year. 7-How Much Your Equity Increase For Year 2018|I