10 0.55 points On March 31, 2021, Chow Brothers, Inc., bought 5% of KT Manufacturing's capital stock for $55.1 million. KT's net income for the year ended December 31, 2021, was $81.7 million. The fair value of the shares held by Chow was $38.4 million at December 31, 2021. KT did not declare or pay a dividend during 2021. Required: 1. Prepare all appropriate journal entries related to the investment during 2021. 2. Assume that Chow sold the stock on January 20, 2022, for $31.7 million. Prepare the journal entries to record the sale. > Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Assume that Chow sold the stock on January 20, 2022, for $31.7 million. Prepare the journal entries to record the sale. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5).). No 1 Date General Journal January 20, 2022 Loss on investments (unrealized, NI) Fair value adjustment Debit Credit 16.7 x 16.7 x 8 769 points On January 8, the end of the first weekly pay period of the year, Regis Company's payroll register showed that its employees earned $23,760 of office salaries and $70,840 of sales salaries. Withholdings from the employees' salaries include FICA Social Security taxes at the rate of 6.20%, FICA Medicare taxes at the rate of 1.45%, $13360 of federal income taxes, $1,410 of medical insurance deductions and $880 of union dues. No employee earned more than $7,000 in this first period. Required: 1.1 Calculate below the amounts for each of these four taxes of Regis Company. Regis's merit rating reduces its state unemployment tax rate to 5% of the first $7,000 paid each employee. The federal unemployment tax rate is 0.60% (Round your answers to 2 decimal places.) Regis Company's January & cornings Tax Rate Tax Amount Prime FICA Social Security FICA-Medica 00 8 769 Print FUTA SUTA 1.2 Prepare the journal entry to record Regis Company's January 8 (employee) payroll expenses and liabilities. (Round your answers to 2 decimal places.) View transaction list Journal entry worksheet Record the employee payroll expenses and liabilities for the first weekly pay period of the year. Note: Enter debits before credits. References Date Jan 08 General Journal Debit Credit 00 8 769 points PH Record entry Clear entry View general journal 2. Prepare the journal entry to record Regis's (employer) payroll taxes resulting from the January 8 payroll. Regis's ment rating reduces its state unemployment tax rate to 5% of the first $7,000 paid each employee. The federal unemployment tax rate is 0.60%. (Round your answers to 2 decimal places.) View transaction Fist Journal entry worksheet Record the employer's payroll expenses and liabilities for the first weeldy pay period of the year. Reference Note: durdur before c General Journal Debit Credit > Record entry Clear untry View general journal