Problem $2$

On January $1,2018,$ Jay Corp. acquired $40\%$ of the outstanding common stock of Bob Corporation for $$1,300,000.$ This acquisition gave Jay the ability to exercise significant influence over the investee. The book value of Bob Corporation was $$2,430,000.$ Any excess cost over the underlying book value was assigned to a patent that was undervalued on Bob's balance sheet. This patent has a remaining useful life of ten years. For the year ended December $31,2018,$ Bob reported net income of $$342,000$ and paid cash dividends of $$98,000.$ Prepare in Excel.

Required

$($a$)$ Prepare a schedule to show the balance Jay should report as its Investment in Bob Corporation at December $31,2018.$