Presented below is information related to the purchases of common stock by Lilly Company during 2017.

Cost at purchase date Fair value at Dec 31st

Investment in Arroyo Company stock $100,000 $80,000

Investment in Lee Corporation stock 250,000 300,000

Investment in Woods Inc. stock 180,000 190,000

Total $530,000 $570,000

Assume a zero balance for any fair value adjustment account

a) What entry would Lilly make at December 31, 2017, to record the investment in Arroyo Company stock if it chooses to report this security using fair value option?

b) What entry(ies) would Lilly make at December 31, 2017, to record the investments in the Lee and Woods corporations, assuming that Lilly did not select the fair value option for these investments?