On January 4, 2024, Runyan Bakery paid $344 million for 10 million shares of Lavery Labeling Company common stock. The investment represents a 30% interest in the net assets of Lavery and gave Runyan the ability to exercise significant influence over Lavery's operations. Runyan chose the fair value option to account for this investment. Runyan received dividends of $4.5 per share on December 15, 2024, and Lavery reported net income of $250 million for the year ended December 31,2024 . The market value of Lavery's common stock at December 31, 2024, was $32 per share. On the purchase date, the book value of Lavery's identifiable net assets was $900 milition and: a. The fair value of Lavery's depreciable assets, with an average remaining useful life of seven years, exceeded their book value by $70 million. b. The remainder of the excess of the cost of the investment over the book value of net assets purchased was attributable to goodwill. Required: 1-a. Prepare all appropriate journal entries related to the investment during 2024, assuming Runyan accounts for this investment under the fair value option, and accounts for the Lavery investment in a manner similar to what it would use for securities for which there is not significant influence. 1-b. Calculate the effect of these journal entries on 2024 net income, and the amount at which the invertment is carried in the December 31, 2024, balance sheet. 2-a. Prepare all appropriate journal entries related to the investment during 2024, assuming Runyan accounts for this investment under the fair value option, but uses equity method accounting to account for Lavery's income and dividends, and then records a fair value adjustment at the end of the year that allows it to comply with GAAP. 2b, Calculate the effect of these journal entries on 2024 net income, and the amount at which the investment is carricd in the December 31, 2024, balance sheet. (Note: You should end up with the same total 2024 income effect and same carrying value on the balance sheet for requirements 1 and 2 .) Prepare all appropriate journal entries related to the investment during 2024, assuming Runyan accounts for this investment under the fair value option, and accounts for the Lavery investment in a manner similar to what it would use for securities for which there is not significant influence. Noteri if no entry is required for a transaction/event, select "No joumal entry required" in the first account field. Enter your answers in (i.e., 10,000,000 should be entered as 10). Show fess A Journal entry worksheet 4 Record the purchase of Lavery Labeling stock for $344 million. Note: Enter debits before credis. Complete this question by entering your answers in the tabs below. Calculate the effect of these journal entries on 2024 net income, and the amount at which the investment is carried in the December 31,2024 , balance sheet. Note: Enter your answers in milions (1.e, 10,000,000 should be entered as 10). Complete this question by entering your answers in the tabs below. Prepare all appropriate journal entries related to the investment during 2024, assuming Runyan accounts for this investment cicer the fair value option, but uses equity method accounting to account for Lavery's income and dividends, and then records a fair value adjustment at the end of the year that allows it to comply with GAAP. Note: If no entry is required for a transaction/event, select "No joumal entry required" in the first account field. Enter your answers in millions: (1.e., 10,000,000 should be entered as 10). Show less A Journal entry worksheet 5 Record the purchase of Lavery Labeling stock for $344 million. Notei Enter debats before creds. Require 1-a. Prepere all appropriate journal entries related to the investment during 2024, assuming Runyan accounts for inestment under the fair value option, and accounts for the Lavery investment in a manner similar to what it would use for 5 : ies for which there is not significant influence. 1-b. Calculate the effect of these journal entries on 2024 net income, and the amount at which the investment is carried in the December 31, 2024, balance sheet. 2-a. Prepare all appropriate journal entries related to the investment during 2024, assuming Runyan accounts for this investment under the fair value option, but uses equity method accounting to account for Lavery's income and dividends, and then records a fair value adjustment at the end of the year that allows it to comply with GAAP. 2-b. Calculate the effect of.these journal entries on 2024 net income, and the amount at which the investment is carried in the December 31, 2024, balance sheet. (Note: You should end up with the same total 2024 income effect and same carrying value on the balance shect for requirements 1 and 2.) Complete this question by entering your answers in the tabs below. Calculate the effect of these journal entries on 2024 net income, and the amount at which the investment is carricd in the December 31, 2024, balance sheet. (Note: You should end up with the same total 2024 income effect and same camying value on the balance sheet for requirements 1 and 2 ) on the balance sheet for requirements 1 and 2 .) Note: Enter your answers in millions (1.e., 10,000,000 should be enterect is 10)