$6$ of $15$

$\frac{-}{8}$

Pronghorn Corporation purchased a $20\%$ interest in Moss Inc. for $$240.$ This investment gave Pronghorn significant influence over Moss. During the year, Moss earned net income of $$15$ and paid dividends of $$5.$ Assuming the purchase price was equal to $20\%$ of Moss's net carrying amount when it was acquired.

Prepare Pronghorn's journal entries related to this investment using the equity method. Pronghorn applies IFRS. $($Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts. List all debit entries before credit entries.$)$

Account Titles and Explanation

$($To record investment purchase$)$