Small Company reported 207 net Income of $42,000 and pald dividends of $16,000 during the year. Mock Corporation acquired 30 percent of Small's shares on January 1, 20X7, for $109,000. At December 31, 20X7, Mock determined the falr value of the shares of Small to be $124,000. Mock reported operating Income of $78,000 for 207. Required: Compute Mock's net Income for 207 assuming it a. Carrles the Investment in Small at falr value. b. Uses the equity method of accountIng for Its Investment In Small