On January 1, 20X1, Ramsey Company purchased 35% of the outstanding common shares of the Vapor Company for $70,000. At the time of investment, Vapor Companys net assets were $200,000. During 20X1, Vapor Company earned $80,000 and declared a dividend of $40,000. Ramsey accounted for the investment under the equity method. Ramseys share of Vapors income for 20X1 is: Multiple Choice $14,000 $28,000 $40,000 $42,000