On March 1, 2020, Merk Ltd. acquired 2,000 shares of Hoi Co. for $70,000. This investment represents a 30% interest in Hoi Co. and Merk Ltd. has significant influence. On November 30, 2020, Hoi Co. paid a $35.000 dividend to its shareholders. At February 28, 2021 Hoi Co.'s shares were valued at $40 per share and Hoi Co. reported net income of $150,000 for the year. On April 15, 2021, Merk Ltd. sold the shares for $116,000. Both Merk Ltd. and Hoi Co. have February 28, 2021 year-ends.

Required:

Prepare dated journal entries for the investment on the acquiring company's books from acquisition to disposal. Ignore income taxes. Journal entry descriptions are optional.