Phillips Company bought 40 percent ownership in Jones Bag Company on January 1, 20X1, at underlying book value. During the period of January 1, 20X1, through December 31, 20X3, the market value of Phillips' investment in Jones' stock increased by $2,000 each year. In 20X1, 20X2, and 20X3, Jones Bag reported the following: Dividends Year 20X1 20X2 Net Income $ 8,000 12,000 20X3 $ 15,000 10,000 10,000 20,000 The balance in Phillips Company's investment account on December 31, 20X3, was $54,000. Required: In each of the following independent cases, determine the amount that Phillips paid for its investment in Jones Bag stock assuming that Phillips accounted for its investment by carrying the investment at fair value, or using the equity method. S Fair value Equity method