Q:Question:An investor owns 30% of an investee, and accounts for its investment using the equity method. At the beginning of the year, the Equity Investment was reported on the investor's balance sheet at $750,000. During the year, the investee reported net income of $300,000 and paid dividends of $63,000. In addi- tion, the investor sold inventory to the investee, realizing a gross profit of $90,000 on the sale. At the end of the year, 40% of theA:Answer:See a step by step answer