On January 4, Year 1, Ferguson Company purchased 120,000 shares of Silva Company directly from one of the founders for a price of $66 per share. Sitva has 300,000 shares outstanding, including the Daniels shares, On July 2, Year 1, Silva paid \$324,000 in total dividends to its shareholders, On December 31 , Year 1, Siva reported a net income of $1,102,000 for the year. Ferguson uses the equity method in accounting for its investment in silva. a. Provide the Ferguson Company journat entries for the transactions involving its investment in Salva Company during Year 1 . b. Determine the December 31, Year 1, balance of tnvestment in Silva Company steck