Sheffield Inc. acquired 20% of the outstanding common stock of Theresa Kulikowski Inc. on December 31, 2020. The purchase price was $1,320,800 for 50,800 shares. Kulikowski Inc. declared and paid an $0.90 per share cash dividend on June 30 and on December 31, 2021. Kulikowski reported net income of $755,000 for 2021. The fair value of Kulikowskis stock was $29 per share at December 31, 2021. Assume that the security is a trading security.

Prepare the journal entries for Sheffield Inc. for 2020 and 2021, assuming that Sheffield cannot exercise significant influence over Kulikowski. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
Dec. 31, 2020June 30, 2021Dec. 31, 2021
Dec. 31, 2020June 30, 2021Dec. 31, 2021
Dec. 31, 2020June 30, 2021Dec. 31, 2021
	(To record dividend.)
	(To record fair value.)

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List of Accounts

Prepare the journal entries for Sheffield Inc. for 2020 and 2021, assuming that Sheffield can exercise significant influence over Kulikowski. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
Dec. 31, 2020June 30, 2021Dec. 31, 2021
Dec. 31, 2020June 30, 2021Dec. 31, 2021
Dec. 31, 2020June 30, 2021Dec. 31, 2021
	(To record dividend.)
	(To record revenue.)

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List of Accounts

At what amount is the investment in securities reported on the balance sheet under each of these methods at December 31, 2021? What is the total net income reported in 2021 under each of these methods?

		Fair Value Method		Equity Method
Investment amount (balance sheet)		$		$
Dividend revenue (income statement)
Unrealized holding gain (income statement)
Investment income (income statement)