Use the following facts for Multiple Choice problems 21 and 22 (each question is independent of the other):

On January 1, 2016, an investor purchases 16,000 common shares of an investee at $11 (cash) per share. The shares represent 22% ownership in the investee. The investee shares are not considered marketable because they do not trade on an active exchange. On January 1, 2016, the book value of the investees assets and liabilities equals $850,000 and $300,000, respectively. On that date, the appraised fair values of the investees identifiable net assets approximated the recorded book values, except for a customer list. On January 1, 2016, the customer list had a recorded book value of $0, an estimated fair value equal to $45,000 and a 5 year remaining useful life. During the year ended December 31, 2016, the investee company reported net income equal to $60,000 and dividends equal to $20,000.

22. Assume the investor can exert significant influence over the investee. Determine the balance in the Investment in Investee account at December 31, 2016.

A. $216,000

B. $182,820

C. $184,800

D. $176,000