n January 1, 2021, Novaks Motor Corp., a private company, buys 25% of Mollys Engines Ltd.s 420,000 common shares for $1,260,000. On December 31, 2021, Mollys pays a $76,000 cash dividend and reports profit of $460,000. At December 31, 2021, Mollys shares are trading at $14.50 per share. Both companies have a December 31 year end. Novaks is able to appoint one board member to Mollys board of directors who has been influential in directing the operations of the company. Record the above transactions assuming Novaks uses the equity method to report its investment in Mollys Engines Ltd. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit (To record dividend received from associate.) (To record investment income from associate.) Determine the amounts to be reported on Novaks Motor Corps balance sheet and income statement for its investment in Mollys at December 31, 2021, assuming Novaks Motors uses the equity method. Balance Sheet Non-current assets Investment in Associate $ Income Statement Other revenue Income from investment in associate $ Record the above transactions assuming Novaks elects to use the cost method for its investment in Mollys. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit Determine the amounts to be reported on Novaks Motor Corps balance sheet and income statement for its investment in Mollys at December 31, 2021. Assume Novaks elects to use the cost method for its investment in Mollys. Balance Sheet Non-current assets Investment in Associate $ Income Statement Other revenue Dividend Revenue $