PROBLEM Glasses, Inc. received $12,000 in dividends on its investment in Scissors, Corp. during 2020. Scenario A assume that Glasses, Inc. uses the equity method to account for its long-term investment in Scissors. Corp. Scenario B: assume that Glasses, Inc. uses the fair value method to account for its long-term investment in Scissors, Corp For each scenario (A&B), fost prepare the journal entry to record the receipt of the dividends and then identity the effect that the receipt of dividends will have on the income statement and the balance sheet. If the facial statement isn't affected, simply answer "no effect": Scenario A: Equity Method ACCOUNT TITLE DEBIT CREDIT What effect would the receipt of dividends have on the Income Statement? (Type your answer in the text box.) What effect would the receipt of dividends have on the Balance Sheet? (Type your answer in the text box.) Scenario B: Fair Value Method ACCOUNT TITLE DERIT CREDIT What effect would the receipt of dividends have on the Income Statement? (Type your answer in the text box.) What effect would the receipt of dividends have on the Balance Sheet? (Type your answer in the text box.) PROBLEM 2 On December 31, 2020 (fiscal year-end) Chair, Inc.'s Trading Security Portfolio has a market value of $110,000. All Securities in the portfolio were purchased during 2020, and had a total cost of S105,000. What effect would the change in market value (fair value) have on Chair, Inc.'s financial statements for the year ending December 31, 2020. If there is no effect, simply answer "no effect". Type your answers in the respective text boxes Income Statement: Balance Sheet: Assume that all facts regarding Chair, Inc.'s investment portfolio are the same as stated above, with the exception that the investments lead been classified as Available for sale. Identify how the change in market value affected Chair, Inc.'s financial statements for the year ending December 31, 2020. If there is no effect, simply answer" no effect". Type your answers in the respective text boxes: Income Statement: Balance Sheet