Year 2 Jan Purchased an influential interest in Imboden Inc. for $886,950 by purchasing 121,500 shares directly 10 from the estate of the founder of Imboden Inc. There are 450,000 shares of Imboden Inc. stock outstanding Received a cash dividend of $0.29 per share on Sankal Inc. stock. Mar. 10 Sep Received a cash dividend of $0.24 per share plus an extra dividend of $0.06 per share on Sankal Inc. 12 stock. Received $53,800 of cash dividends on Imboden Inc. stock. Imboden Inc. reported net income of Dec. 31 $407,200 in Year 2. Forte Inc. uses the equity method of accounting for its investment in Imboden Inc. Dec Sankal Inc. is classified as an available-for-sale investment and is adjusted to a fair value of $23 per 31 share. Use the valuation allowance for available-for-sale investments account in making the adjustment for the decrease in fair value from $25 to $23 per share. Required: 1. Journalize the entries to record these transactions. Refer to the information given and the Chart of Accounts provided for the exact wording of the answer choices for text entries. 2. Prepare the investment-related asset and stockholders' equity balance sheet presentation for Forte Inc. orn December 31, Year 2, assuming the Retained Earnings balance on December Year 2, is $4 Refer to the Chart of Accounts and Amount Descriptions provided for the exact wording of the answer choices for text entries. "Less" or "Plus" will automatically appear if it is required. For those boxes in which you must enter subtracted or negative numbers use a minus sign. Amount Descriptions Amount Descriptions Available-for-sale investments (at cost) Available-for-sale investments (at fair value) Net income Net loss Other comprehensive income (loss) Other income (loss) Trading investments (at cost) Trading investments (at fair value) ASSETS REVENUE 110 Cash 410 Sales 111 Petty Cash 611 Interest Revenue 120 Accounts Receivable 612 Dividend Revenue 121 Allowance for Doubtful Accounts 621 Income of Imboden Inc. 131 Notes Receivable 631 Gain on Sale of Investments 132 Interest Receivable 641 Unrealized Gain on Trading Investments 141 Merchandise Inventory EXPENSES 145 Office Supplies 511 Cost of Merchandise Sold 146 Store Supplies 512 Bad Debt Expense 151 Prepaid Insurance 515 Credit Card Expense 161 Investments-Sankal Inc. 516 Cash Short and Over 163 Investment in Imboden Inc. Stock 520 Salaries Expense 165 Valuation Allowance for Trading Investments 531 Advertising Expense 166 Valuation Allowance for Available-for-Sale Investments 532 Delivery Expense 181 Land 533 Repairs Expense 191 Store Equipment 534 Selling Expenses 192 Accumulated Depreciation-Store Equipment 535 Rent Expense 193 Office Equipment 536 Insurance Expense 194 Accumulated Depreciation-Office Equipment 537 Office Supplies Expense 538 Store Supplies Expense LIABILITIES 210 Accounts Payable 561 Depreciation Expense-Store Equipment 221 Notes Payable 562 Depreciation Expense-Office Equipment 231 Interest Payable 590 Miscellaneous Expense 241 Salaries Payable 710 Interest Expense 251 Sales Tax Payable 721 Loss of Imboden Inc. 731 Loss on Sale of Investments EQUITY 741 Unrealized Loss on Trading Investments 311 Common Stock 312 Paid-In Capital in Excess of Par-Common Stock 321 Preferred Stock 322 Paid-In Capital in Excess of Par-Preferred Stock 331 Treasury Stock 332 Paid-In Capital from Sale of Treasury Stock 340 Retained Earnings 350 Unrealized Gain (Loss) on Available-for-Sale Investments 351 Cash Dividends