Question 5 [25 marks] Part A On January 1, 2005 Trini acquired an 80% interest in Lucian for $560,000 when Lucian's equity consisted of $530,000 paid-in capital and $100,000 Retained Earnings. Any excess of purchase price over was attributed to goodwill. On January 1, 2017, Lucian had the following stockholders' equity: Common stock ($20 par) Paid-in capital in excess of par Retained earnings Total stockholders' equity $180,000 350,000 220,000 $750,000 On January 2, 2017, Lucian sold 1,000 additional shares to non-controlling shareholders in a public offering for $50 per share. Lucian's net income for 2017 was 80,000. Lucian paid dividends of $15,000. Trini uses the simple equity method to record its investment in Lucian. Required: i. Prepare Trini's journal entry to adjust its Investment in Lucian account on January 2, 2017. Assume that Trini has $500,000 additional paid-in capital. [10 marks] ii. Calculate the balance in Trini's Investment in Lucian account on December 31, 2017. [5marks]