Question 4 Flounder Limited had investments in securities on its SFP for the first time at the end of its fiscal year ended December 31, 2020. Flounder's investments in securities are to be accounted for at fair value through net income. During 2020, realized losses and gains on the trading of shares and bonds resulted in investment income, which is fully taxable in the year. Flounder also accrued unrealized gains at December 31, 2020, which are not taxable until the investment securities are sold. The portfolio of trading securities had an original cost of $315,200 and a fair value on December 31, 2020 of $318.700. The entry recorded by Flounder on December 31, 2020 was as follows: 3.500 FV-Nt Investments Investment Income or LOSS 3,500 Income before income tax for Flounder was $311,500 for the year ended December 31, 2020. There are no other permanent or reversing differences in arriving at the taxable income for Flounder Limited for the fiscal year ended December 31, 2020. The enacted tax rate for 2020 and future years 30%. Assume that the company reports under ASPE and that the taxes payable method of accounting is used for income tax Prepare the journal entry to record income tax at December 31, 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter for the amounts.) Date Account Titles and Explanation Debit Credit December 31, 2020