Camp Company buys and sells securities expecting to earn profits on short-term differences in price. The companys fiscal year ends on 12/31. The following selected transactions relating to Camp Ccompany's trading account occurred during December 2016 and the first week in 2017.

2016:

December 17 Purchased 100,000 Bell Companys preferred shares for $350,000.

December 28 Received cash dividends of $2,000 from Bell Company preferred shares.

December 31 Recorded any necessary adjustment entry relating to Bell Companys preferred shares. The market price of the stock was $4.1 per share.

2017:

January 5 Sold the Bell Company Preferred shares for $400,000.

Required:

1. Prepare the appropriate journal entry for each transaction.

2. Indicate any amounts that Camp Company would report in its 2016 balance sheet and income statement as a result of this investment.