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On July 12, 2018, Rossow Corporation purchased 2,000 shares of Reimer Company for $90,000. The following information applies to the fair value of Reimer Company:

	Per Share
12/31/2018	$	52
12/31/2019		47
12/31/2020		42

Reimer Company declares and pays cash dividends of $1 per share on May 1 of each year.

2. Prepare journal entries to record the facts in the case, assuming Rossow owns 25 percent of Reimers stock. Reimer reported $21,000 of net income each year.

Journal entry worksheet Record the receipt of cash dividends on May 1, 2019 of $1 per share. Note: Enter debits before credits. Debit Credit Date May 01, 2019 General Journal Cash investment in Affiliates Clear entry View general journal Record entry View transaction list Journal entry worksheet XII /2/0/ 51 8 9 Record the entry to recognize earnings from Rossow's investment in Reimen Reimer reported net income of $21,000 in 2019. Noter Egter debits before credits Debit Credit Date General Journal December 31, 2019 Investment in Affiliates Equity in Affiliate Earnings Record entry Clear entry View general joumal Journal entry worksheet Record the valuation adjustment, if required, assuming the fair value of Reimer Company's stock on December 31, 2019 is $47 per share. Note: Enter debits before credits. General Journal Debit Credit Date December 31, 2019 Record entry Clear entry View general journal SULLUI IJL Journal entry worksheet 0 0 0 0 7 3 0 8 119 0 Record the receipt of cash dividends on May 1, 2020 of $1 per share. Note: Enter debits before credits! General Journal Debit Credit Recomendy Clear entry View general journal VIEW ramado USL Journal entry worksheet