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11 (12 points) For 2010 and 2011, Sabil Corporation earned net income of $480,000 and $640,000 and paid dividends of $18,000 and $20,000, respectively. At
11 (12 points) For 2010 and 2011, Sabil Corporation earned net income of $480,000 and $640,000 and paid dividends of $18,000 and $20,000, respectively. At January 1, 2010, Sabil had $200,000 of $10 par value common stock Outstanding and $1,500,000 of retained earnings. On January 1 of each of these years, Phyit Corporation bought 10% of the outstanding common stock of Sabil paying $200,000 per 10% block on January 1, 2010 and 2011. All payments made by Phyit in excess of book value were attributable to equipment, which is depreciated over ten years on a straight-line basis. Required: Using the appropriate accounting methods, show all journal entries that Phyit Corporation had recorded in its books for both years 2010 Ind 2011 following the proper chronological order
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