On January 3, 2023, Trycker, Incorporated acquired

40%

of the outstanding common stock of Inkblot Company for

$2,400,000

. This investment gave Trycker the ability to exercise significant influence over Inkblot. Inkblot's assets on that date were recorded at

$8,000,000

with liabilities of

$2,000,000

. There were no other differences between book and fair values.\ During 2023, Inkblot reported net income of

$500,000

and paid dividends of

$300,000

. The fair value of Inkblot at December 31,2023 , is

$7,000,000

. Trycker elects the fair value option for its investment in Inkblot.\ How are dividends received from Inkblot reflected in Trycker's accounting records for 2023?

On January 3, 2023, Trycker, Incorporated acquired 40% of the outstanding common stock of Inkblot Company for $2,400,000. This investment gave Trycker the ability to exercise significant influence over Inkblot. Inkblot's assets on that date were recorded at $8,000,000 with liabilities of $2,000,000. There were no other differences between book and fair values. During 2023, Inkblot reported net income of $500,000 and paid dividends of $300,000. The fair value of Inkblot at December 31,2023 , is $7,000,000. Trycker elects the fair value option for its investment in Inkblot. How are dividends received from Inkblot reflected in Trycker's accounting records for 2023