X Company purchased 15,000 common shares of Y Inc. on January 1, Year 1 for $200,250. Y Inc. had 100,000 common shares outstanding. The following information relates to Y Inc.: Net income (loss) Dividends paid Year 1 Year 2 $300,000 ($250,000) Market value/share at Dec. 31 $19.25 $18.30 $60,000 $40,000 On January 1, Year 3, X Company sold the investment in Y Inc. shares for $19 per share. Required i) Prepare the journal entries for Years 1, 2 and on January 1, Year 3, assuming the following independent scenarios: a) Investor plans to sell the shares in the short term for profit b) Investor elects to us FVTOCI (include closing journal entry on January 1, Year 3) c) Investor has significant influence How much is the change in Retained Earnings from January 1, Year 1 to January 1, Year 3 for each scenario? Show all numbers for each year to support your total change. ii) X Company purchased 15,000 common shares of Y Inc. on January 1, Year 1 for $200,250. Y Inc. had 100,000 common shares outstanding. The following information relates to Y Inc.: Net income (loss) Dividends paid Year 1 Year 2 $300,000 ($250,000) Market value/share at Dec. 31 $19.25 $18.30 $60,000 $40,000 On January 1, Year 3, X Company sold the investment in Y Inc. shares for $19 per share. Required i) Prepare the journal entries for Years 1, 2 and on January 1, Year 3, assuming the following independent scenarios: a) Investor plans to sell the shares in the short term for profit b) Investor elects to us FVTOCI (include closing journal entry on January 1, Year 3) c) Investor has significant influence How much is the change in Retained Earnings from January 1, Year 1 to January 1, Year 3 for each scenario? Show all numbers for each year to support your total change. ii)