On December $31,2022,$ Akron, Incorporated, purchased $5$ percent of Zip Company's common shares on the open

market in exchange for $$15,750.$ On December $31,2023,$ Akron, Incorporated, acquires an additional $25$ percent of Zip

Company's outstanding common stock for $$97,250.$

During the next two years, the following information is available for Zip Company:

At December $31,2023,$ Zip reports a net book value of $$282,000.$ Akron attributed any excess of its $30$ percent share

of Zip's fair over book value to its share of Zip's franchise agreements. The franchise agreements had a remaining life

of $10$ years at December $31,2023.$

Required:

a$.$ Assume Akron applies the equity method to its Investment in Zip account:

What amount of equity income should Akron report for $2024?$

On Akron's December $31,2024,$ balance sheet, what amount is reported for the Investment in Zip account?

b$.$ Assume Akron uses fair$-$value accounting for its Investment in Zip account:

What amount of income from its investment in Zip should Akron report for $2024?$

On Akron's December $31,2024,$ balance sheet, what amount is reported for the Investment in Zip account?

Answer is complete but not entirely correct.