$(20$ pts$)$ Calamari Company purchased $30\%$ of Squid Company for $$875,000$ in cash on January $1,2021.$ On the date of purchase, Squid's book value was $$2,200,000.$

Excess of cost over book value assigned to Calamari amounting to $$50,000$ is due to undervalued Equipment and is to be amortized over $5$ years. The rest is due to Goodwill.

Journalize the following for $2021$ on the books of Calamari, assuming Calamari uses the equity method:

a$.$ Squid reported a total net income of $$700,000.$ Journalize the recording of the correct income on the books of Calamari.

b$.$ Total dividends paid by Squid amounted to $$100,000.$

c$.$ The market value of Calamari's investment in Squid at year end had changed to $$940,000.$

d$.$ Calamari then sold half of its investment in Squid, losing significant influence, for $$450,000.$