Question 2 (10 points) Saved Priya Corporation acquired 100 percent of Sheldon Company stock on January 1, 2020 for $780,000 cash. Following are pre-closing trial balance amounts for Priya Corporation and Sheldon Company as of December 31, 2020: PRIYA CORPORATION SHELDON CORPORATION Debit Credit Debit Credit Cash $753,600 $262,700 Accounts Receivable 249,000 149,000 Inventory 437,000 195,000 Investment in Sheldon Corp. 886,200 Buildings 652,000 169,000 Land 709,000 283,000 Equipment 513,000 232,000 Cost of Goods Sold 328,000 207,000 Depreciation Expense, Building 56,800 19,200 Depreciation Expense, Equipment 43,100 23,400 Selling & Administrative Expense 137,000 116,800 Dividends Declared 70,000 40,000 Accumulated Depreciation, Bldg $227,200 $57,600 Accumulated Depreciation, Equip 172,400 93,600 Accounts Payable 187,000 174,900 Bonds Payable 450,000 78,400 Common Stock ($1 par) 695,000 273,000 Additional Paid In Capital 1,258,500 348,000 Retained Earnings (01/01/2020) 908,000 159,000 Sales 790,400 512,600 Income from Sheldon Corp. 146,200 $4,834,700 $4,834,700 $1,697,100 $1,697,100 Additional Information: 1. On January 1, 2020, the book values of Sheldon's net assets and liabilities approximated fair values. 2. Priya Corporation uses the equity method to account for its Investment in Sheldon Company. 3. The general ledger numbers given above (HINT: those in boldface) include the effects of the JOURNAL ENTRIES that were recorded by Priya at the acquisition date and during 2020 to account for its investment in Sheldon Company. These boldface figures should be used as check figures for your solution. Required: Recreate the JOURNAL ENTRIES recorded by Priya to account for its investment in Sheldon Company at January 1, 2020 and during 2020 NOTE: BE SURE TO TYPE A SIMPLE NUMBER WITH NO COMMAS OR DOLLAR SIGNS. FOR EXAMPLE, TYPE 1000 INSTEAD OF $1,000. DATE OF ACQUISITION: THE JOURNAL ENTRY INCLUDES A DEBIT TO 'INVESTMENT IN SHELDON CORP.' AND A CREDIT TO CASH IN THE AMOUNT OF: AJ DURING 2020: ACCRUAL OF SHELDON'S REPORTED NET INCOME: INCLUDES A DEBIT TO INVESTMENT IN SHELDON CORP. AND A CREDIT TO INCOME FROM SHELDON CORP. IN THE AMOUNT OF: AJ DURING 2020: ACCRUAL OF DIVIDENDS FROM SHELDON CORP: INCLUDES A DEBIT TO CASH (OR DIVIDENDS RECEIVABLE) AND A CREDIT TO INVESTMENT IN SHELDON CORP. IN THE AMOUNT OF: A