On January 1, 2016, Clearwater Inc. purchased 6,000 shares of outstanding common stock of Mountain Corp. at a cost of $140,000. Mountain had 30,000 shares of outstanding common stock. This purchase was enough to give Clearwater significant influence over Mountain. Assume the book value of Mountain's assets was $650,000 at the date of purchase. It was also determined that the fair market value of Mountain's property, plant & equipment exceeded its book value by $50,000. This equipment has a remaining life of 10 years. The following data pertain to Mountain Co. during 2016: Total mountain Co. Net Income $18,000. Total Mountain Co. Dividends declared and paid: $12,000. Mountain Corp's common stock was trading at $28 per share at Dec 31. Prepare all necessary entries on Clearwater's books for 2016, beginning with the initial purchase.