Q2: Initial value method and partial equity method for investment Matthews Co. acquired all of the common stock of Jackson Co. on January 1, 2017. As of that date, Jackson had the following trial balance: DR RE1/1/2017 CR 120,000 APIC 60,000 CS 300,000 LAND 90,000 BUILDINGS 140,000 EQUIPMENT 240,000 During 2017, Jackson reported net income of $96,000 while paying dividends of $12,000. During 2018, Jackson reported net income of $132,000 while paying dividends of $36,000. Assume that Matthews Co. acquired the common stock of Jackson Co. for $588,000 in cash. As of January 1, 2017, Jackson's land had a fair value of $102,000, its buildings were valued at $188,000, and its equipment was appraised at $216,000. Any excess of consideration transferred over fair value of assets and liabilities acquired is due to an unamortized patent to be amortized over 10 years. If Matthews decided to use the equity method for this investment, what is the investment balance as of 12/31/2018 and how much will be the equity income in Jackson reported for 2018? If Matthews decided to use the partial equity method for this investment, what is the investment balance as of 12/31/2018 and how much will be the equity income in Jackson reported for 2018? If Matthews decided to use the initial value method for this investment, what is the investment balance as of 12/31/2018 and how much will be the investment income in Jackson reported for 2018?