On January 4, Ekaterina Company purchased 480,000 shared of Jorge Company for $30 per share. Jorge Company has 1,200,000 shares outstanding On July 2. Year 1 Jorge Company paid $750,000 in total dividends all shareholders. On December 31, Year 1, Jorge Company reported net income of $2,000,000 for the year. Ekaterina uses the equity method in accounting for its investment in Jorge Company REQUIRED: 1. Provide Ekaterina Company journal entries for the three transactions involving its investment in Jorge Company during Year 1. 2. Determine the December 31, Year 1 balance of the investment in Jorge Company's stock account. SHOW COMPUTATION FOR FULL CREDIT