Question 21 (10 points) Pasta Corporation acquired 75% of Sauce Company on January 1. 2020 for $566,250 cash. The fair value of the other 25% ownership interest is estimated to be $188,750. ADDITIONAL INFORMATION: On the date of acquisition: * The Book Value of Sauce Company's net identifiable assets was $652,000. * Sauce's Company's Plant Assets were undervalued by $75,000 (remaining life was estimated to be 5 years). * Sauce's Company's Inventories were overvalued by $9,000 (all sold by year end). * New Goodwill was determined to be $37,000. At year-end, it was determined that the New Goodwill was impaired by $5,800. * For 2020, Sauce reported net income of $146,500 and paid dividends of $26,000. Assume that Pasta Company uses the fully adjusted equity method to account for its Investment in Sauce. REQUIRED: ANSWER THE FOLLOWING FOUR QUESTIONS RELATED TO THE 4 SEPARATE JOURNAL ENTRIES THAT PASTA WOULD RECORD AT THE ACQUISITION DATE AND DURING 2020