Harper, Inc., acquires $40$ percent of the outstanding voting stock of Kinman Company on January $1,2020,$ for $$345,900$ in cash. The book value of Kinman's net assets on that date was $$675,000,$ although one of the company's buildings, with a $$63,600$ carrying amount, was actually worth $$125,850.$ This building had a $10-$year remaining life. Kinman owned a royalty agreement with a $20-$year remaining life that was undervalued by $$127,500.$

Kinman sold inventory with an original cost of $$69,300$ to Harper during $2020$ at a price of $$99,000.$ Harper still held $$19,800($transfer price$)$ of this amount in inventory as of December $31,2020.$ These goods are to be sold to outside parties during $2021.$

Kinman reported a $$55,000$ net loss and a $$21,000$ other comprehensive loss for $2020.$ The company still manages to declare and pay a $$7,000$ cash dividend during the year.

During $2021,$ Kinman reported a $$45,800$ net income and declared and paid a cash dividend of $$9,000.$ It made additional inventory sales of $$84,000$ to Harper during the period. The original cost of the merchandise was $$52,500.$ All but $30$ percent of this inventory had been resold to outside parties by the end of the $2021$ fiscal year.

Prepare all journal entries for Harper for $2020$ and $2021$ in connection with this investment. Assume that the equity, method is applied. $($If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field. Do not round intermediate calculations.$)$