QUESTION 2 Dole owns 20 percent of the outstanding stock of Ferfoglia and has significant influence. On 1/1/22, the balance in the investment in Ferfoglia is $300,000. Amortization associated with this acquisition is $12,000 per year. In 2022, Ferfoglia earns an income of $200,000 and pays cash dividends of $50,000. Previously in 2021, Ferfoglia had sold inventory costing $60,000 Dole for $100,000. Dole consumed all but 40 percent of this merchandise during 2021 and used the rest during 2022. Ferfoglia sold additional inventory costing $30,000 to Dole for $50,000. Dole did not consume 30 percent of these 2022 purchases from Ferfogila until 2023. The fair value of the investment in Ferfoglia at 1/1/21 was $300,000 and at 12/31/22 increased to $400,000. Required: Compute the amounts requested 1. The amount of unrealized profit deferred on intra-entity sale of inventory at 12/31/21 16,000 . 2. The amount of investment account balance at 12/31/22. 338,000 3. The amount of equity income for the year ended 12/31/22. 10,000 4. Assume Dole elects the fair value option for its investment in Ferfoglia. What amount is reported for the investment in Ferfoglia at 12/31/22? 400,000 5. Assume Dole elects the fair value option for its investment in Ferfoglia. What amount of income from investment should Dole report for 2022? 10,000 For questions 6 & 7 disregard the fair value option 6. Disregard your answer to question 2 and assume the investment account had a balance of $360,000 before considering other comprehensive income. If Ferfoglia had other comprehensive income of $20,000 in 2022. What amount is reported for the investment in Ferfoglia. 7. Disregard your answer to question 3 and assume that equity income was $50,000 before considering other comprehensive income. If Ferfoglia had other comprehensive income of $20,000 in 2022. What amount of equity income is reported for the year ended 12/31/22?