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need help filling in all of the red boxes. Oriole Inc. acquired 20% of the outstanding common stock of Theresa Kulikowski Inc. on December 31,
need help filling in all of the red boxes.
Oriole Inc. acquired 20% of the outstanding common stock of Theresa Kulikowski Inc. on December 31, 2020. The purchase price was $1,111,200 for 46,300 shares. Kulikowski Inc. declared and paid an $0.80 per share cash dividend on June 30 and on December 31, 2021. Kulikowski reported net income of $788,000 for 2021. The fair value of Kulikowski's stock was $27 per share at December 31, 2021 Prepare the journal entries for Oriole Inc. for 2020 and 2021, assuming that Oriole cannot exercise significant influence over Kulikowski. (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 for the amounts.) Date Account Titles and Explanation Debit Credit Dec 31, 2020 Equity Investments 1111200 Cash June 30, 2021 12 cash 37040 Unrealized Holding Gain or Loss -Income Dec 31, 2021 Cash 37040 Unrealized Holding Gain or Loss -Income (To record dividend.) Unrealized Holding Gain or Loss -Income 157600 Fair Value Adjustment (To record fair value.) Prepare the journal entries for Oriole Inc. for 2020 and 2021, assuming that Oriole can exercise significant influence over Kulikowski. (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 for the amounts.) Date Account Titles and Explanation Debit Credi Dec 31, 2020 June 30, 2021 V DIDATTI Dec 31, 2021 (To record dividend.) (To record revenue.) At what amount is the investment in securities reported on the balance sheet under each of these methods at December 31, 2021? What is the total net income reported in 2021 under each of these methods? Fair Value Method Equity Method Investment amount (balance sheet) Dividend revenue (income statement) TOON III. Unrealized holding gain (income statement) Investment income (income statement) Step by Step Solution
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