Problem
Sheppard Corporation On January 3, 2016, Sheppard Corporation purchased 15% of Meredith Corporation's common stock for $62,000. The investment was classified as available for sale. Meredith's net income for the years ended December 31 2016 and 2017 were $18,000 and $56,000 respectively. Meredith declared no dividends during 2016; however, during 2017, the company declared a $70,000 dividend. On December 31, 2016, the fair value of Meredith's stock that Sheppard Corporation owned had increased to $70,000; in 2017, it increased again to $75,000. Refer to Sheppard Corporation. Assume that Sheppard purchased 25% of Meredith's common stock for $62,000. All other facts remain the same. What would be the balance in the investment account as of December 31, 2017?