Softball Corporation reported the following balances at January 1, 20X9 Item Cash Accounts Receivable Inventory Buildings and Equipment Less: Accumulated Depreciation Total Assets Accounts Payable Common Stock ($10 par value) Additional Paid-In Capital Retained Earnings Total Liabilities and Equities Book Value $ 45,000 60,000 120,000 300,000 (150,000) $375,000 $ 75,000 100,000 30,000 170,000 $ 375,000 Fair Value $ 45,000 60,000 130,000 240,000 $475,000 $ 75,000 On January 1, 20X9, Pitcher Corporation purchased 100 percent of Softball's stock. All tangible assets had a remaining economic life of 10 years at January 1, 20X9. Both companies use the FIFO Inventory method. Softball reported net income of $16,000 in 20x9 and paid dividends of $3,200. Pitcher uses the equity method in accounting for its investment in Softball. Required: Prepare all journal entries that Pitcher recorded during 20X9 with respect to its investment assuming Pitcher paid $437,500 for the ownership of Softball on January 1, 20X9. The amount of the differential assigned to goodwill is not impaired. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list View journal entry worksheet Debit 40,000 37,500 Credit Record the purchase of Softball. 437,500 Record the dividend received from Softball. Record the equity-method income/loss. 16,000 16,000 Record the amortization of the differential assigned to inventory carried on a FIFO basis. 3,200 3,200 Record the amortization of the differential assigned to buildings and equipment. 1,000) 1,000