On January 2, 2020, Baleine Ltd. acquired 19% of the outstanding voting shares of Golf Inc. for $240,000 plus directly attributable transaction costs related to the transaction of $5,000. The fair value of Golfs identifiable net assets at acquisition date was $570,000, which equalled their carrying value. Relevant information for the year ended December 31, 2020, follows:

Golf Inc.
Net income (loss)	$ 70,000
Dividends declared and paid	50,000
Market value of investment	260,000

Baleine negotiated for one of the five seats on Golfs board of directors as part of the transaction. The rest of Golfs shares are widely held. Baleine also committed to increase purchases of supplies from Golf by $30,000 annually. Baleine reports under IFRS.

Required:

1. Determine whether Golf is an associate of Baleines, using case facts to support your analysis. Use the IAR approach for your response.

2. Assuming that Golf is an associate of Baleines, prepare journal entries related to its investment in Golf for the year ended December 31, 2020, including the journal entry to record the acquisition.

3. Assuming that Golf is an associate of Baleines, determine the balance in the investment in associate (Golf) account as at December 31, 2020, to be reported on Baleines statement of financial position (SFP).