On January 4, 2017, Harrison Corp. purchased 26% of C Corporation's voting stock for $100,000. During 2017, C recorded income of $200,000 and paid total dividends of $13,000. Harrison uses the equity method to account for this investment. Calculate Harrison's income from the C investment and the December 31, 2017, balance sheet value of its long-term equity investment in C.

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The Answer of On January 4, 2017, Harrison Corp. purchased 26% of C Corporation's voting stock for $100,000. During 2017, C recorded income of $200,000 and paid total dividends of $13,000. Harrison uses the equity method to account for this investment. Calculate Harrison's income from the C investment and the December 31, 2017, balance sheet value of its long-term equity investment in C.