Fact Pattern A Central Construction Company (CCC) begins building a restaurant for Diners Cafe Corporation, but after two months demands an extra $100,000. Diners agrees to pay. Refer to Fact Pattern A. If CCC offers, as a reason for the extra $100,000, that ordinary business expenses have increased, the agreement is a. enforceable as an accord and satisfaction. b. unenforceable due to the preexisting duty rule. c. unenforceable as an illusory promise. d. enforceable because of unforeseen difficulties.

Evan company reports net income of $232,000 each year and declares an annual cash dividend of $100,000. the company holds net assets of $2,130,000 on january 1, 2017. on that date, shalina purchases 40 percent of evan's outstanding common stock for $1,066,000, which gives it the ability to significantly influence evan. at the purchase date, the excess of shalina’s cost over its proportionate share of evan’s book value was assigned to goodwill. on december 31, 2019, what is the investment in evan company balance (equity method) in shalina’s financial records?