Waterway Corporation purchased for $327,000 a 25% interest in Murphy, Inc. This investment enables Waterway to exert significant influence over Murphy. During the year, Murphy earned net income of $185,000 and paid dividends of $62,000. Prepare Waterways journal entries related to this investment. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Account Titles and Explanation Debit Credit [Entry field with incorrect answer now contains modified data] [Entry field with incorrect answer] [Entry field with correct answer] [Entry field with correct answer] [Entry field with correct answer] [Entry field with incorrect answer] (To record the purchase.) [Entry field with incorrect answer] [Entry field with incorrect answer] [Entry field with correct answer] [Entry field with correct answer] [Entry field with correct answer] [Entry field with incorrect answer] (To record the net income.) [Entry field with incorrect answer] [Entry field with incorrect answer] [Entry field with correct answer] [Entry field with incorrect answer] [Entry field with correct answer] [Entry field with incorrect answer]