On July 1, 20x1, Sanchez Corporation acquired 3,000 shares (20% ownership) of Beal Corporation common stock at $40 per share plus brokerage fees of $600. The investment of $120,000 was $6,000 greater than 20% of the equity of Beal because inventory was understated by $30,000. Beal reported net income of $270,000 for the year and paid dividends of $2 per share at the end of each quarter. The market value of the Beal shares is $42 per share at December 31, 20x1. Under the fair value method, what would the company report in the 20x1 income for this investment?