Problem 2 On January 1, 2019 a company purchases 40% of the outstanding shares of JJJ Company for $2,200,000. The net book value of JJJ Company on January 1, 2019 was $4,700,000. All of the assets held by JJJ on January 1, 2019 had book value equal to fair value except its manufacturing plant building and its inventory of item #3. The manufacturing plant was undervalued by $450,000 and the inventory was undervalued by $25,000. JJJ Company reported net income for 2019 of $375,000 and paid $45,000 dividends to all shareholders on December 15, 2019. On January 1, 2019 JJJ's manufacturing plant building had a remaining useful life of 20 years and on December 31, 2019 JJJ had sold /4 of its January 1, 2019 inventory of item #3. Determine the following amounts: 1. Implied goodwill on the purchase of JJJ Company stock, if any. 2. 2019 Investment Income from JJJ Company investment reported on the company's income statement. 3. Balance in Investment in JJJ Company account on December 31, 2019