(a) Fair Value Method (b) Equity Method Transaction 1. At the beginning of Year 1 , Ayayai bought 30% of Sunland's common stock at its book value. Total book value of all Sunland's common stock was $760,000 on this date. 2. (a) During Year 1 , Sunland reported $52,000 of net income. (b) During Year 1 . Sunland paid $28,500 of dividends. 3. (a) During Year 2, Sunland reported $26,000 of net income. (b) During Year 2, Sunland Investment Account Dividend Revenue urviuerius. 3. (a) During Year 2, Sunland reported $26,000 of net income. (b) During Year 2, Sunland paid $21,000 of dividends. 4. (a) During Year 3 , Sunland reported a net loss of $9,000. (b) During Year 3 , Sunland paid $4,200 of dividends. 5. Indicate the Year 3 ending balance in the Investment account, and cumulative totals for Years 1, 2, and 3 for dividend revenue and investment revenue