Stellar Inc. acquired 20% of the outstanding common stock of Theresa Kulikowski Inc. on December 31, 2020. The purchase price was $1,214.400 for 52,800 shares. Kulikowski Inc. declared and paid an $0.80 per share cash dividend on June 30 and on December 31, 2021. Kulikowski reported net income of $768,000 for 2021. The fair value of Kulikowski's stock was $26 per share at December 31, 2021. Assume that the security is a trading security. (a) Your answer is correct. Prepare the journal entries for Stellar Inc. for 2020 and 2021, assuming that Stellar 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 for the amounts.) Date Debit Cre Account Titles and Explanation Equity Investments Dec 31, 2020 1214400 Cash June 30, 2021 Cash 42240 Dividend Revenue Dec 31, 2021 Cash 42240 Dividend Revenue (To record dividend.) Fair Value Adjustment 158400 Unrealized Holding Gain or Loss -Income (To record fair value.) e Textbook and Media List of Accounts Attempts: 2 of 3 used (b) Prepare the journal entries for Stellar Inc. for 2020 and 2021, assuming that Stellar 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 for the amounts.) Date Account Titles and Explanation Debit Credit (To record dividend.) (To record revenue.) e Textbook and Media