Johnson Inc.’s non-strategic investment portfolio at December 31, 2022, consisted of the following:

*The fair value adjustments were recorded on December 31, 2022.Johnson had no other debt and equity investments at December 31, 2022, other than those shown above. During 2023, Johnson engaged in the following transactions:

RequiredJournalize the above transactions.

Analysis Component:Assume the Allen Corp. shares were sold on January 16, 2024, for $364,000. Calculate the investment income or loss and explain the impact on the financial statements.

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Debt and Equity Investments* 10,000 Xavier Corp. common shares.............. 1,250 Young Inc. common shares............ 120,000 Zed Corp. common shares........... Cost Fair Value $163,500 $145,000 65,000 62,000 35,600 ..... 40,000