Paragon Company paid $30,000 cash to acquire 20% of Saragon Companys outstanding shares on December 31, 2010, when the book value and fair value of Saragons net identifiable assets was $120,000 and $140,000, respectively. The excess of fair value of net identifiable assets over the book value was attributed to depreciable assets with a remaining useful life of ten years (zero salvage value). The excess of acquisition cost over the fair value of net identifiable assets was attributed to goodwill. Saragon reported net income $8,000 for 2011 and declared cash dividends $6,500 during 2011. Paragon used equity method to account for its investment in Saragon. There was no goodwill impairment as of the end of 2011. What is the amount of Income from Investment in Saragon to be reported in Paragons income statement for 2011?