MC Qu$.1-1($Static$)$ On January $1$ of the current year, Barger...

On January $1$ of the current year, Barger Company buys $150,000$ shares of Booker, Incorporated$$s common stock for $$1,200,000,$ the book value of the shares. This purchase gave Barger $25\%$ ownership in Booker and the ability to significantly influence operating and financing decisions. At the time of the acquisition, Booker had a total book value of $$4,800,000.$ During the current year, Booker reported net income of $$700,000$ and paid a $$0\mathrm{.}85$ per share dividend.

Barger elects to use the equity method of accounting. What is the balance in the Investment in Booker account in the records of Barger Company at December $31,$ of the current year?