On September 1, 2020, Jacob Ltd. purchased 100,000 common shares for a 15% interest in Blue Sky Drilling Corporation for $15 per share, and paid a $7,000 brokerage commission for the purchase. Jacob Ltd. intends to hold this investment for several years and does not have significant influence over BlueSky Drilling. The market value of the Blue Sky Drilling shares at December 31, 2020, is $19 per share. On February 15, 2021 Blue Sky Drilling distributed a total dividend to its shareholders of $50,000. Jacob Ltd. sold one-half of the shares on June 30, 2021 for $16 per share. Which of the following is the correct journal entry on June 30, 2021 to record the sale of shares? Cash 800,000 Loss on Sale of Long-Term Investments 150,000 O A. Fair Value Valuation Allowance 200,000 Long-Term Investments 750,000 Cash 800,000 150,000 Loss on Sale of Short-Term Investments OB. Fair Value Valuation Allowance 200,000 750,000 Short-Term Investments Cash 800,000 145,000 O C. Loss on Sale of Long-Term Investments Long-Term Investments 945,000 Cash 800,000 OD. Loss on Sale of Investment 145,000 Investment in Blue Sky Drilling Common Shares 945,000 On September 1, 2020, Jacob Ltd. purchased 100,000 common shares for a 15% interest in Blue Sky Drilling Corporation for $15 per share, and paid a $7,000 brokerage commission for the purchase. Jacob Ltd. intends to hold this investment for several years and does not have significant influence over BlueSky Drilling. The market value of the Blue Sky Drilling shares at December 31, 2020, is $19 per share. On February 15, 2021 Blue Sky Drilling distributed a total dividend to its shareholders of $50,000. Jacob Ltd. sold one-half of the shares on June 30, 2021 for $16 per share. Which of the following is the correct journal entry on June 30, 2021 to record the sale of shares? Cash 800,000 Loss on Sale of Long-Term Investments 150,000 O A. Fair Value Valuation Allowance 200,000 Long-Term Investments 750,000 Cash 800,000 150,000 Loss on Sale of Short-Term Investments OB. Fair Value Valuation Allowance 200,000 750,000 Short-Term Investments Cash 800,000 145,000 O C. Loss on Sale of Long-Term Investments Long-Term Investments 945,000 Cash 800,000 OD. Loss on Sale of Investment 145,000 Investment in Blue Sky Drilling Common Shares 945,000