On January 1, H55 Corporation, a publicly traded company, purchased 20% of Hook Ltd.'s common shares for $777,000. At December 26, Hook declared a $44,000 dividend (H55 received its share of that dividend on the same day) and reported net income of $72,000:

The shares' fair value at December 31 was $821,000.

On January 1, H55 Corporation, a publicly traded company, purchased 20% of Hook Ltd's comimn shares for $777,000. At December 26. Hook dectared a 544,000 dividend ( 455 recelved its share of that dividend on the same day) and reported nit income of $72,000. Theshares' fair value at December 31 was $821000. (a) Record each of these transactions, asseming H55 has significant influence over Hook and is using the equity method to account for this investment, (List all debit entries before credit entries. Credit account titles are automatically indented when the amount ti entered, Do not indent monudly, If no entry is required, select "Wo Entry" lor the occount titles and enter O for the amounts. Record journal entries in the order presented in the problem.) (b) How much income would H55 report because of its investment in Hook? Income $