The following transactions pertain to Bulacan Company. 1. Purchased 20,000 ordinary shares of P100 par of Batangas Company for P2,000,000 on January  1, 2019. This purchase represents 20% of interest in the net assets of Batangas which is fairly valued  at P8,000,000. The shares give Bulacan significant influence over Batangas. 2. Batangas reported profit of P1,500,000 for 2019. 3. In 2020, Bulacan received a 10% bonus issue from Batangas. 4. Batangas reported profit of P3,000,000 for 2020. 5. Batangas paid a cash dividend of P1,000,000 on the ordinary shares on December 31, 2020.

Required: 

1. Journal entries to record the transactions. 

2. Carrying value of investment on December 31, 2019, and 2020.