Knowledge Check $01$

McCracken Company owns $25\%$ of Bradley Company's common stock. Bradley reports net income of $$200,000$ for the year ended December $31.$

Complete the necessary journal entry.

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

Journal entry worksheet

A

Record McCracken Company's investment income related to its ownership of Bradley Company's common stock.

Note: Enter debits before credits.