QUESTION 6 20 points Save Answer USE THE FOLLOWING INFORMATION FOR QUESTIONS 6-9 Dodge Inc. acquired 15% (15,000 shares) of Gates Corp. on January 1, 2017 for $105,000 when the book value of Gates was $600,000 and the fair market value was $700,000. During 2017, Gates reported net income of $150,000 and paid dividends of $60,000. The fair market value of Gates stock rose to $900,000 as of December 31, 2017. Dodge used the fair value method to record its investment in Gates in 2017. On January 1, 2018, Dodge purchased an additional 25% (25,000 shares) of Gates for $200,000 which resulted in Dodge having significant influence over Gates. Any excess cost over book value was attributed to goodwill with an indefinite life. Dodge decided to change to the equity method to account for its investment in Gates in 2018. During 2018, Gates reported net income of $200,000 and paid a dividend of $60,000 on November 1,2018. The income is assumed to have been earned evenly throughout the year. On September 30, 2018 Dodge sold 10,000 shares of Gates for $100,000. Based on those facts, calculate: The income reported by Dodge for 2017 with regard to the Gates investment. ***Use Table Function*** Arial 3 (12pt) 1 Path: table, tbody trn td Words:15 QUESTION 7 Balance in the Investment in Gates account just prior to the sale. ***Use Table Function *** TT TT Paragraph Arial 3 (12pt) T. % Doan ' . fx Mashups Words:0 Path: P QUESTION 8 Click Save and Submit to save and submit. Click Save All Answers to save all answers. Save All Answers Close Wind Path: P Words:0 QUESTION 8 Gain (loss) on sale of Gates stock. ***Use Table Function*** Paragraph Arial 3 (12pt) - T- %D9 . 1 [ HTML CSS Mashups T C6 Words:0 Path: P Save All Answers Close Wing Click Save and Submit to save and submit. Click Save All Answers to save all answers. Path: P Words:0 QUESTION 9 Balance in the Investment in Gates account at December 31, 2018. ***Use Table Function*** TTTF Paragraph 4 Arial 3 (12pt) E-T T T Mashups TT CG BEBE HTML CSS Words:0 Path: p QUESTION 10 Close Windo Save All Answers Click Save and Submit to save and submit. Click Save All Answers to save all answers