During January 2020, Optimum Glass Company purchased the following securities for its long-term investment portfolio:

• D-Light Corporation common stock: 12,100 shares (95,500 outstanding) at $11 per share
• Fluorescent Company bonds: $307,000 (10-year, 6 percent) purchased at par (not to be held to maturity or actively traded)

All companies have a December 31 year-end. Subsequent to acquisition, the following data were available:

	2020				2021
Net income reported at December 31:
D-Light Corporation	$	40,000			$	50,000
Fluorescent Company	$	370,000			$	562,000
Dividends and interest paid during the year:
D-Light Corporation (cash dividends per share)	$	0.50			$	0.60
Fluorescent Company (annual interest)	$	18,420			$	18,420
Fair value at December 31:
D-Light Corporation (per share)	$	10.00			$	11.50
Fluorescent Company	$	275,000			$	285,000

2-a. Prepare the journal entry for the Optimum Glass Company to record purchase of the investments.

2-b. Prepare the journal entries for the Optimum Glass Company for each year to record income reported by D-Light Corporation and Fluorescent Company.

2-c. Prepare the journal entries for the Optimum Glass Company for each year to record dividends and interest received from D-Light Corporation and Fluorescent Company.

2-d. Prepare the journal entries for the Optimum Glass Company for each year to record fair value effects at year-end.

Journal entry worksheet Record the purchase of the investments in 2020. Note: Enter debits before credits. Year General Journal Debit Credit 2020 Journal entry worksheet Record the income reported by D-Light Corporation and Fluorescent Company in 2020. Note: Enter debits before credits. Year General Journal Debit Credit 2020 1 Record the income reported by D-Light Corporation and Fluorescent Company in 2021. Note: Enter debits before credits. Year General Journal Debit Credit 2021 Record the dividends and interest received in 2020. Note: Enter debits before credits. Year General Journal Debit Credit 2020