On January 1, 2020, Whispering Winds Corporation purchased 40% of the common shares of Martz Limited for $198,000. Martz Limited shares are not traded in an active market. The carrying amount of Martz's net assets was $370,000 on that date. Any excess of the purchase cost over Whispering Winds's share of Martz's carrying amount is attributable to unrecorded intangibles with a 20-year life. During the year, Martz earned net income and comprehensive income of $76,000 and paid dividends of $15,200. The investment in Martz had a fair value of $203,000 at December 31, 2020. During 2021, Martz incurred a net loss and comprehensive loss of $81,000 and paid no dividends. At December 31, 2021, the fair value of the investment was $142,000 and the recoverable amount was $151,000. Assume that Whispering Winds follows IFRS. Your answer is correct. Prepare all relevant journal entries related to Whispering Winds's investment in Martz for 2020 and 2021, assuming this is its only investment and Whispering Winds cannot exercise significant influence over Martz's policies. Whispering Winds accounts for this investment using the FV-NI model and separately records and reports each type of income (loss) separately. (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 o for the amounts.) Debit Credit Account Titles and Explanation 2020: FV-NI Investments 1198000 198000 TCash (To record investment purchase) Cash T6080 76080 Dividend Revenue (To record collection of dividend) FV-NI Investments 15000 15000 Investment Income or Loss (To record fair value adjustment) 2021: 161000 Investment Income or Loss FV-NI Investments 761000 Your answer is correct. Illustrate how the statement of comprehensive income is affected in 2020. (Enter answers in alphabetical order.) Net income will include the dividend revenue of $16080 and the Tunrealized gain of $15000 Your answer is correct. Illustrate how the statement of comprehensive income is affected in 2021. Net income will include the deduction for the Tunrealized holding loss of $61000 Your answer is partially correct. Try again. Prepare all relevant journal entries related to Whispering Winds's investment in Martz for 2020 and 2021, assuming this is its only investment and Whispering Winds exercises significant influence over its associates' policies. (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 o for the amounts.) Account Titles and Explanation Debit Credit 2020: Investment in Associate 198000 Cash 198000 (To record investment purchase) Cash 16080 Investment in Associate 16080 (To record collection of dividend) Investment in Associate 130400 Investment Income or Loss 130400 (To record investment income) Investment Income or Loss 125001 Investment in Associate 12500 (To record amortization of fair value difference) 2021: Investment Income or Loss 32400 Investment in Associate 132400 (To record investment income) Investment Income or Loss 12500 Investment in Associate 12500 (To record amortization of fair value difference) Loss on Impairment Investment in Associate (To record loss on impairment) X x your answer is incorrect. Try again. Illustrate how the statement of comprehensive income is affected in 2020. X! of $ Net income will include the Your answer is partially correct. Try again. Illustrate how the statement of comprehensive income is affected in 2021. Net income will include investment loss on the associate of SL and impairment loss of SL Your answer is partially correct. Try again. Prepare relevant journal entry related to Whispering Winds's investment in Martz for 2020, if you were told that Martz's 2020 statement of comprehensive income included a loss from discontinued operations of $22,000 (net of tax)? (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Debit Credit Account Titles and Explanation Investment in Associate TLoss on Discontinued Operations Loss Investment Income or Loss (To record investment income) x Your answer is incorrect. Try again. Prepare the statement of comprehensive income if you were told that Martz's 2020 statement of comprehensive income included a loss from discontinued operations of $22,000 (net of tax)? (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Martz Limited Comprehensive Income Statement December 31, 2020 x X XP 5