Brief Exercise 144 On January 1, Sanchez Corporation purchased a 3s% equity interest in Lawton Company for s380,000. At December 31, Lawton declared and paid a $40,000 cash dividend and reported net income of $98,000. Prepare the necessary journal entries for Sanchez Corporation. (credit account titles are automaticaly indented when the amount is entered. Do not indent Date Account Titles and Explanation Dec. 31 To record dividends paid)