In the second year of ownership of a 100%-owned subsidiary, which of the following journal entries would be recorded in the books of the investor under the equity method?
a) Debit to Investment in Subsidiary; Credit to Dividend Income
b) Debit to Dividend Income; Credit to Investment in Subsidiary
c) Debit to Investment in Subsidiary; Credit to Equity Income
d) Debit to Equity Income; Credit to Investment in Subsidiary
