Required information The following information applies to the questions displayed below] As a long-term investment, Painters' Equipment Company purchased 20% of AMC Supplies Inc's 400,000 shares for $480,000 at the beginning of the fiscal year of both companies. On the purchase date, the fair value and book value of AMC's net assets were equal. During the year, AMC earned net income of $250,000 and distributed cash dividends of 25 cents per share. At year-end, the fair value of the shares is $505,000. Answer is not complete. No Transactions Debit Credit 1 1 General Journal Investment in equity securities Cash 480,000 480,000 2 2 20,000 $ Cash Investment in equity securities X 20,000 3 Fair value adjustment Loss on investment (unrealized, NI) 25,000 % X 25,000