On November $1$ of Year $1,$ Drucker Co$.$ acquired the following investments in equity securities measured at FV$-$NI$.$

Kelly Corporation $800$ shares of common stock $($no$-$par$)$ at $$60$ per share

Keefe Corporation $480$ shares preferred stock $($ $$10$ par$)$ at $$20$ per share

On December $31,$ the company's year$-$end, the quoted market prices were as follows: Kelly Corporation common stock, $$52,$ and Keefe Corporation preferred stock, $$24.$

Following are the data for the following year $($Year $2).$

Mar. $02$: Dividends per share, declared and paid: Kelly Corp., $$1,$ and Keefe Corp., $$0\mathrm{.}50$

Oct. $01$: Sold $160$ shares of Keefe Corporation preferred stock at $$25$ per share.

Dec. $31$: Fair values: Kelly common, $$46$ per share, Keefe preferred, $$26$ per share.

Year $1$

Year $2$

a$.$ Prepare the entry for Drucker Company to record the purchase of the securities$.$

b$.$ Prepare any adjusting entry needed at December $31,$ Year $1.$

Note: If a journal entry isn't required for the transaction, select $"$N$/$A$$Debit$"$ and $"$N$/$A$$Credit$"$ as the account names and leave the Dr$.$ and Cr$.$ answers blank $($zero$).$

c$.$ Indicate the items and amounts that should be reported on the Year $1$ income statement of Drucker and its year$-$end balance sheet. Assume that the investments are classified as

current.

Note: Use a negative sign to indicate a loss.