ZZ, Inc. acquired 39% of Davis Company's common stock for $300,000 on January 1, 2018. During 2018, Davis Company reported a net income of $180,000 and paid dividends totaling $30,000. For 2019, Davis Company earned a net income of $150,000 and paid dividends totaling $20,000. On December 31, 2019, ZZ, Inc. sold one-half of its investment in Davis Company for $208,000 cash.

A) Calculate the balance in the investment in Davis Company account at December 31, 2018.

B) Calculate the amount of the gain on sale of investments reported by ZZ, Inc. in its 2019 income statement as a result of selling one-half of its investment in Davis Company. If ZZ, Inc. would not record a gain from the sale of one-half of its investment in Davis Company, enter a 0 as your answer.