Information relating to equity investments made in 2022 by HartyCorporation follows:

1.On January 1, 2022, Hartyobtained significant influence over LaurelInc. by buying 30% of Laurels120,000 issued common shares at $24 per share. On June 15, 2022, Laureldeclared and paid a cash dividend of $1.50 per share. On December 31, Laurelreported net income was $280,000, and itsshares were trading at $25.50.

2.On March 1, 2022, as a trading investment, Hartyacquired 12% of the 250,000 issued common shares of Noah Limited at $8 per share. On July 1, 2022, Noah declared and paid a cash dividend of $2 per share. On December 31, 2022, Noah's reported net income was $654,000 for the year and its shares were trading at $7.50.

3. What is the effecton the financial statements related to these investments?

Instructions

Prepare all necessary journal entries relating to these two investments for 2022 for HartyCorporation.(15 marks)