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QUESTION 1 (13 MARKS) RST purchased 20,000 common shares (20%) of Stamp Inc. on January 1, Year 5 for $270,000 and classified the investment as FVTPL. Stamp reported net income of $170,000 in Year 5 and $180,000 in Year 6 (earned evenly throughout the year), and paid total dividends of $20,000 each August. Stamp's shares were trading at $16 per share on December 31, Year 5, $18 per share on December 31, Year 6. On Jan 1, Year 6, RST obtained significant influence over the operating, investing, and financing decisions of Stamp when the controlling shareholder sold some shares in the open market and lost control over Stamp. Accordingly, the investment in Stamp was reclassified to an investment in associate. On December, Year 6, RST sold its full investment in Stamp REQUIRED: Provide journal entries for RST Corporation for all transactions relating to its investment in Stamp Company for Years 5 and 6. RST purchased 20,000 common shares (20%) of Stamp Inc. on January 1, Year 5 for $270,000 and classified the investment as FVTPL. Stamp reported net income of $170,000 in Year 5 and $180,000 in Year 6 (earned evenly throughout the year), and paid total dividends of $20,000 each August. Stamp's shares were trading at $16 per share on December 31, Year 5, $18 per share on December 31, Year 6. On Jan 1. Year 6, RST obtained significant influence over the operating, investing, and financing decisions of Stamp when the controlling shareholder sold some shares in the open market and lost control over Stamp. Accordingly, the investment in Stamp was reclassified to an investment in associate. On December, Year 6, RST sold its full investment in Stamp. REQUIRED: Provide journal entries for RST Corporation for all transactions relating to its investment in Stamp Company for Years 5 and 6