Splish Inc. acquired 20% of the outstanding common stock of Theresa Kulikowski Inc. on December 31, 2020. The purchase price was $1,243,200 for 51,800 shares. Kulikowski Inc. declared and paid an $0.75 per share cash dividend on June 30 and on December 31, 2021. Kulikowski reported net income of $786,000 for 2021. The fair value of Kulikowskis stock was $27 per share at December 31, 2021.

A. Prepare the journal entries for Splish Inc. for 2020 and 2021, assuming that Splish cannot exercise significant influence over Kulikowski.

B. Prepare the journal entries for Splish Inc. for 2020 and 2021, assuming that Splish CAN exercise significant influence over Kulikowski. \

Please help with B for I was able to complete A. I don't understand the difference

Splish Inc. acquired 20% of the outstanding common stock of Theresa Kulikowski Inc. on December 31, 2020. The purchase price was $1,243,200 for 51,800 shares. Kulikowski Inc. declared and paid an $0.75 per share cash dividend on June 30 and on December 31, 2021. Kulikowski reported net income of $786,000 for 2021. The fair value of Kulikowski's stock was $27 per share at December 31, 2021. (a) Your answer is correct. Prepare the journal entries for Splish Inc. for 2020 and 2021, assuming that Splish 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 O for the amounts.) Your answer is correct. Prepare the journal entries for Splish Inc. for 2020 and 2021, assuming that Splish 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 Ofor the amounts.) Date Account Titles and Explanation Debit Credit 31, 2020 Equity Investments 1243200 Cash 1243200 30, 2021 Cash 38850 Dividend Revenue 38850 31, 2021 Cash 38850 Dividend Revenue 38850 (To record dividend.) Fair Value Adjustment 155400 Unrealized Holding Gain or Loss -Income 155400 (To record fair value.) e Textbook and Media List of Accounts Attempts: 2 of 3 used Prepare the journal entries for Splish Inc. for 2020 and 2021, assuming that Splish 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 O for the amounts.) ate Account Titles and Explanation Debit Credit 2020 Equity Investments 1243200 Cash 1243200 1, 2021 Cash 38850 Dividend Revenue 38850 .2021 Cash 38850 Dividend Revenue 38850 (To record dividend.) Fair Value Adjustment Unrealized Holding Gain or Loss -Income (To record revenue.)