For $129,000 Blizzard, Inc. acquired 10% of PLAINS Co.\'s outstanding common stock on January 1, 2014. At this date, the book value of all of PLAINS\' assets equaled their fair values except for a patent (5-year remaining useful life) that had a fair value that was $10,000 in excess of its book value. Blizzard categorized its investment as an available-for-sale security. In 2014 PLAINS earned net income of $440,000 and paid dividends of $108,000. On January 1, 2015, Solution a. 1. january,2015 Investment in PLAIN Dr.$256000 To cash $256000 (Being 20% of shares acquired of PLAIN) Investment in PLAIN($520000 * 20%) Dr.$104000 To equityin PLAIN or Income $104000 (Being net income of PLAIN recorded as investment made in it) cash(120000 * 20%) Dr.$24000 To Investment in PLAIN $24000 (Being dividend received) .