Problem 3: Planet Company acquired all of the stock of Star Company on January 1, 2021 for $1,200,000 cash. There were no combination or stock issuance costs. Fair market value differed from book value for two items: item book value fair value Land Buildings $325,000 $300,000 $275,000 $400,000 (20 year life) In 2021, Star Company reported income of $60,000 and paid dividends of $26,000 a. Calculate the annual amortization of any difference between fair market value and Star's book values b. Then, indicate how much investment income Planet Company would recognize in 2021 under each of the following methods: Initial Value Method Partial Equity Method Equity Method