Stock Investment Transactions, Equity Method and Available-for-Sale Securities Glacier Products Inc. is a wholesaler of rock climbing gear. The company began operations on January 1, Year 1. The following transactions relate to securities acquired by Glacier Products Inc., which has a fiscal year ending on December 31: Year 1 Jan. 18. Purchased 7,900 shares of Malmo Inc. as an available-for-sale investment at $54 per share, including the brokerage commission. July 22. A cash dividend of $0.50 per share was received on the Malmo stock. Oct. 5. Sold 2,400 shares of Malmo Inc. stock at $57 per share less a brokerage commission of $35. Dec. 18. Dec. 31 Malmo Inc. is classified as an available-for-sale investment and is adjusted to a fair value of $52 per share. Use the valuation allowance for available-for-sale investments account in making the adjustment. Year 2 Received a regular cash dividend of $0.50 per share on Malmo Inc. stock. Jan. 25. Purchased an influential interest in Helsi Co. for $760,000 by purchasing 63,000 shares directly from the estate of the founder of Helsi. There are 180,000 shares of Helsi Co, stock outstanding. July 16. Received a cash dividend of $0.60 per share on Malmo Inc. stock. Dec. 16. Received a cash dividend of $0.60 per share plus an extra dividend of $0.10 per share on Malmo Inc. stock. Dec. 31 Received $23,000 of cash dividends on Helsi Co. stock. Helsi Co. reported net income of $95,000 In Year 2. Check My Work

Stock Investment Transactions, Equity Method and Available-for-Sale Securities Glacier Products Inc. is a wholesaler of rock climbing gear. The company began operations on lanuary 1 , Year 1 . The following transactions relate to securities acquired by Glacier Products Inc., which has a fiscal year ending on December 31 : Year 1 Jan, 18, Purchased 7,900 shares of Malmo Inc. as an avalable-for-sale investment at $54 per share, including the brokerage commission. July 22. A cash dividend of $0.50 per share was received on the Malmo stock. Oct.5. Sold 2,400 shares of Malmo Inc. stock at $57 per share less a brokerage commission of $35. Dec. 18. Recelved a regular cash dividend of $0.50 per share on Malmo tnc, stock. Dec. 31 Malmo Inc. is classified as an available-for-sale investment and is ajlusted to a fair yalue of 552 per share. Use the valuation atlowance for-avalible-for-sale investments account in maling the adjustment. Year 2 Jan. 25. Purchased an influentlal interest in Heisi Co, for $760,000 by purchasing 63,000 shares directly from the estate of the founder of Helsl. There are 180,000 shares of Helsi Co, stock outstanding. July 16. Received a cash dividend of $0,60 per share on Malmo Inc. stock. Dec. 16. Received a cash dividend of $0,60 per share plus an extra dividend of 50.20 per share on Maimo Ine. stock. Dec: 16. Feceived a cash dividend of $0,60 per share plus an extra dividend of $0.10 per share on Malmo inc. stock. Dec. 31 Received $23,000 of cash dividends on Helsi Co, stock. Helsi Co. reported net income of $95,000 in Year 2 . Glacier Products inc, uses the equity method of accounting for its investment in Helsi Co. Dec, 31 Malmo inc, is classified as an available-for-sale investment and is adjusted to a fair value of $58 per share. Use the valuation aliowance for available-for-sale investments account in making the adjustment for the increase in fair value from $52 to $58 per share. Required: 1. loumalize the entries to record the preceding transactions. For a compound transaction, if an amount box does not require an entry, leave it blank, in your computations, round per share amounts to two decimal places. 2. Prepare the investment-related asset and stockholders' equity balance sheet presentation for Glacier Products Inc. on December 31 , Year 2 . assuming that the Retained Earnings balance on December 31, Year 2 , is $555,000