Total of 7 questions. See attached photos of questions.

Case I: Grant Company acquired 40% of the voting stock of Jake Corporation on January 1, 2016, for $50,000,000. Basis differences were attributed entirely to goodwill. During the 5- year period from January 1, 2016 through December 31, 2020, Jake reported total net income of $23,000,000 and paid $8,000,000 in dividends. During 2021, Jake reported net income of $3,000,000 and paid $800,000 in dividends. Required: a. Calculate the balance in Investment in Jake, reported on Grant's December 31, 2020 balance sheet a) 56 million Ob) 59.2 million c) 50 million d) 46.8 million Question 2 (5 points) Saved Case I: Grant Company acquired 40% of the voting stock of Jake Corporation on January 1, 2016, for $50,000,000. Basis differences were attributed entirely to goodwill. During the 5- year period from January 1, 2016 through December 31, 2020, Jake reported total net income of $23,000,000 and paid $8,000,000 in dividends. During 2021, Jake reported net income of $3,000,000 and paid $800,000 in dividends. Required: b. Calculate the balance in Investment in Jake, reported on Grant's December 31, 2021 balance sheet. a) 50 million Ob) 55.68 million c) 57.2 million d) 56.88 million Question 5 (5 points) Saved Case III: Delta Corporation has owned 45% of the voting stock of Egret Company for many years, originally purchased at book value and reported using the equity method. Egret has reported significant net losses in recent years, and at the beginning of 2019, the carrying value of the investment is $1,000,000. Egret reports a loss of $3,000,000 for 2019, and the loss is considered other than temporary. In 2020 Egret unexpectedly reports net income of $900,000 Required: a. What amount should Delta report on its 2019 income statement as equity in net loss of Egret? a) 3 million b) 1.35 million c) d) 1 million Question 6 (5 points) Saved Case III: Delta Corporation has owned 45% of the voting stock of Egret Company for many years, originally purchased at book value and reported using the equity method. Egret has reported significant net losses in recent years, and at the beginning of 2019, the carrying value of the investment is $1,000,000. Egret reports a loss of $3,000,000 for 2019, and the loss is considered other than temporary. In 2020 Egret unexpectedly reports net income of $900,000 Required: b. What amount should Delta report on its 2020 income statement as equity in net income of Egret? a) 55,000 b) 350,000 c) 900,000 d) 405,000 Question 7 (5 points) Case IV: Franklin Corporation owns 15% of the voting stock of Grantham Company and has been reporting it as an equity investment with no significant influence. At the beginning of the current year, the investment has a fair value of $50,000,000. Franklin originally purchased its 15% interest for $35,000,000. Franklin purchases an additional 10% interest in Grantham's voting stock for $40,000,000 and determines that the equity method is now appropriate. Any basis difference is attributed to goodwill. Grantham reports net income of $3,000,000 for the current year, and declares and pays $500,000 in dividends. The year-end fair value of Franklin's 25% interest is $100,000,000. Required: At what amount does Franklin report the investment on its year-end balance sheet? a) 90 million Ob) 100 million c) 90.625 million d) 50 million as Case II: Konica Company acquires 40% of the voting stock of Lexmark Corporation on January 1, 2017, for $60,000,000, and treats it an equity method investment. There were no basis differences. Lexmark reports total net income of $20,000,000 for the period 2017 - 2020, and $5,000,000 for 2021. Lexmark paid no dividends during the period 2017 - 2020 but paid $1,000,000 in dividends in 2021. The accounting year for both companies ends December 31. Lexmark sells merchandise to Konica at a markup of 30% on cost. The inventory balances held by Konica, purchased from Lexmark, are as follows. Inventory Held by Konica; Purchased from Lexmark December 31, 2020 $1,560,000 December 31, 2021 2,600,000 Required: a. Calculate equity in net income of Lexmark, reported on Konica's 2021 income statement. Question 3 options: a) 2.24 million b) 1.76 million c) 2 million d) 1.904 million Case II: Konica Company acquires 40% of the voting stock of Lexmark Corporation on January 1, 2017, for $60,000,000, and treats it as an equity method investment. There were no basis differences. Lexmark reports total net income of $20,000,000 for the period 2017 - 2020, and $5,000,000 for 2021. Lexmark paid no dividends during the period 2017 - 2020 but paid $1,000,000 in dividends in 2021. The accounting year for both companies ends December 31. Lexmark sells merchandise to Konica at a markup of 30% on cost. The inventory balances held by Konica, purchased from Lexmark, are as follows. Inventory Held by Konica; Purchased from Lexmark December 31, 2020 $1,560,000 December 31, 2021 2,600,000 Required: b. Calculate investment in Lexmark, reported on Konica's December 31, 2021 balance sheet. Question 4 options: a) 67.856 million b) 68 million c) 60 million d) 69.36 million