Required information Skip to question [The following information applies to the questions displayed below.]

Gioia Company acquired some of the 75,000 shares of outstanding common stock (no par) of Tristezza Corporation during the current year as a long-term investment. The annual accounting period for both companies ends December 31. The following transactions occurred during the current year:

Jan. 10 Purchased 17,875 shares of Tristezza common stock at $12 per share. Dec. 31 a. Received the current year financial statements of Tristezza Corporation that reported net income of $93,000. b. Tristezza Corporation declared a cash dividend of $0.6 per share. c. Tristezza Corporation paid the cash dividend declared in (b). d. Determined the market price of Tristezza stock to be $11 per share. Required: 2. Prepare the journal entries for each of these transactions. (Round your intermediate percentage answer to 1 decimal place (For example, .129 should be 12.9%). If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

3. Show how the long-term investment and the related revenue should be reported on the current year's financial statements (balance sheet and income statement) of the Gioia Company. (Round your intermediate percentage answer to 1 decimal place (For example, .129 should be 12.9%).)