Exercise 17-12 The following are two independent situations. Situation 1 Culver Cosmetics acquired 10% of the 220,000 shares of common stock of Martinez Fashion at a total cost of $13 per share on March 18, 2017. On June 30, Martinez declared and paid $69,500 cash dividend to all stockholders. On December 31, Martinez reported net income of $119,000 for the year. At December 31, the market price of Martinez Fashion was $14 per share. Situation 2 Larkspur, Inc. obtained significant influence over Seles Corporation by buying 40% of Seles's 31,800 outstanding shares of common stock at a total cost of $9 per share on January 1, 2017. On June 15, Seles declared and paid cash dividends of $32,500. On December 31, Seles reported a net income of $77,300 for the year. Prepare all necessary journal entries in 2017 for both situations. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Date Debit Credit Account Titles and Explanation Situation 1: Culver Cosmetics Situation 2: Larkspur, Inc Click if you would like to Show Work for this question: Open Show Work