The following selected transactions relate to investment activities of Ornamental Insulation Corporation during 2021. The company buys equity securities as noncurrent investments. None of Ornamental's Investments are large enough to exert significant influence on the investee. Ornamental's fiscal year ends on December 31. No investments were held by Ornamental on December 31, 2020, Mar. 31 Acquired Distribution Transformers Corporation common stock for $490,000. Sep. 1 Acquired $1,035,800 of American Instruments common stock. Sep. 30 Received a $17,150 dividend on the Distribution Transformers common stock. Oct. 2 Sold the Distribution Transformers common stock for $524,000. Nov. 1 Purchased $1,500,000 of M&D Corporation common stock. Dec. 31 Recorded any necessary adjusting entry(s) relating to the investments. The market prices of the investments are: American Instruments common stock M&D Corporation common stock $ 976,000 $1,570, eee Required: 1. Prepare the appropriate journal entry for each transaction or event during 2021, as well as any adjusting entries necessary at year- end. 2. Indicate any amounts that Ornamental Insulation would report in its 2021 Income statement, 2021 statement of comprehensive Income, and 12/312021 balance sheet as a result of these investments. Include totals for net income, comprehensive income, and retained earnings as a result of these investments Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare the appropriate Journal entry for each transaction or event during 2021, as well as any adjusting entries necessary at year-end. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) 1 Record the acquisition of Distribution Transformers Corporation common stock for $490,000. on 2 Record the acquisition of $1,035,000 of American Instruments' common stock. 3 Record the entry for dividend received on the Distribution Transformers common stock. 4 Record the entry to adjust to fair value on the date of sale of the Distribution Transformers common stock. 5 Record the entry for sale Distribution Transformers common stock for $524,000. Note : journal entry has been entered 1. Prepare the appropriate journal entry for each transaction or event during 2021, as well as any adjusting entries necessa end. 2. Indicate any amounts that Ornamental Insulation would report in its 2021 income statement, 2021 statement of compreh income, and 12/31/2021 balance sheet as a result of these investments. Include totals for net income, comprehensive incom retained earnings as a result of these investments. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare the appropriate journal entry for each transaction or event during 2021, as well as any adjusting entries necessary at ye (Ir no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list on stock 3 Record the entry for dividend received on the Distribution Transformers common stock, 4 Record the entry to adjust to fair value on the date of sale of the Distribution Transformers common stock. 5 Record the entry for sale Distribution Transformers common stock for $524,000. 6 Record the acquisition of $1,500,000 of M&D Corporation common stock Credit 7. Record the entry to adjust fair value of the investments at year-end. Note : journal entry has been entered Complete this question by entering your answers in the tabs below. Required 1 Required 2 Indicate any amounts that Ornamental Insulation would report in its 2021 Income statement, 2021 statement of comprehensive income, and 12/31/2021 balance sheet as a result of these investments. Include totals for net income, comprehensive income, and retained earnings as a result of these investments. Income statement: $ Net income Statement of comprehensive income: 0 Other comprehensive income Comprehensive income Balance sheet: Assets Noncurrent Assets $ 0 Shareholders' Equity
