CH7 - MKI SELL Wharton, Inc. pays income taxes on capital gains at a rate of 30 percent. At December 31, year 1, the company owns marketable securities that cost $180,000 but have a current market value of $520,000. c. Prepare a journal entry at January 4, year 2. to record the cash sale of these investments at $520,000. d. What effect will the sale recorded in partc have on Wharton's tax obligation for year 2? point Complete this question by entering your answers in the tabs below. LICE Required C Required D Prepare a journal entry at January 4, year 2, to record the cash sale of these investments at $520,000. (If no entry is required for a transaction/event, select "No Journal entry required" in the first account field.)