Selk Steel Co., which began operations on January 4, 2017, had the following subsequent transactions and events in its long-term investments. Assume that although Selk owns 25% of Kildaires outstanding stock, circumstances indicate that it does not have a significant influence over the investee and that it is classified as an available-for-sale security investment. 2017

Jan.		5		Selk purchased 50,000 shares (25% of total) of Kildaire's common stock for $1,600,000.
Oct.		23		Kildaire declared and paid a cash dividend of $4.50 per share.
Dec.		31		Kildaire's net income for 2017 is $1,294,000, and the fair value of its stock at December 31 is $33.50 per share.

2018

Oct.		15		Kildaire declared and paid a cash dividend of $3.40 per share.
Dec.		31		Kildaire's net income for 2018 is $1,606,000, and the fair value of its stock at December 31 is $35.00 per share.

2019

Jan.

2

Selk sold all of its investment in Kildaire for $2,041,000 cash.

2. Compute the cost per share of Selk's investment in Kildaire common stock as reflected in the investment account on January 1, 2019 Investment cost per share 3. Compute the net increase or decrease in Selk's equity from January 5, 2017, through January 2,2019, resulting from its investment in Kildaire The in Selk's equity is