On January $1,2020,$ Alison, Inc., paid $$62,500$ for a $40$ percent interest in Holister Corporation's common stock. This investee had

assets with a book value of $$220,500$ and liabilities of $$87,000.$ A patent held by Holister having a $$8,100$ book value was actually

worth $$20,100.$ This patent had a six$-$year remaining life. Any further excess cost associated with this acquisition was attributed to

goodwill. During $2020,$ Holister earned income of $$42,000$ and declared and paid dividends of $$14,000.$ In $2021,$ it had income of

$$57,000$ and dividends of $$19,000.$ During $2021,$ the fair value of Allison's investment in Holister had risen from $$74,100$ to $$81,000.$

a$.$ Assuming Alison uses the equity method, what balance should appear in the Investment in Holister account as of December $31,$

$2021?$

b$.$ Assuming Alison uses fair$-$value accounting, what income from the investment in Holister should be reported for $2021?$

a$.$ Investment in Holister

b$.$ Investment income