Below are selected T-accounts related to equity investments for Lois Corporation.

Required:
a. Prepare the journal entry for the purchase of additional investments in affiliated companies for cash.

b. Prepare the journal entry for the declaration of cash dividends on the investments.

c. At year-end, the investments account had a fair value of $350,000; the affiliates also reported $386,676 in net income for the year. Prepare the year-end journal entry.

d. What would be reported on the balance sheet related to the investments in affiliates on December 31?

e. What would be reported on the income statement for the year?

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1/1 Balance Investments 321,652 34,990 Purchase Share of affiliates earnings 12/31 Balance 472,025 ? 6,210 Share of affiliates' dividends Equity in Investee Earnings 0 1/1 Balance Share of affiliates' earnings 121,593 12/31 Balance ?