These are two independent situations: 1. Eusey Cosmetics acquired 12% of the 300,000 shares of common stock

Question:

These are two independent situations:
1. Eusey Cosmetics acquired 12% of the 300,000 shares of of High Fashion at a total cost of $14 per share on March 18, 2014. On June 30, High declared and paid a $75,000 On December 31, High reported net income of $244,000 for the year. At December 31, the market price of High Fashion was $16 per share. The stock is classified as available-for-sale.
2. Dickson Inc. obtained significant influence over Kiner by buying 25% of
Kiner’s 30,000 outstanding shares of at a total cost of $11 per share on
January 1, 2014. On June 15, Kiner declared and paid a cash of $35,000. On
December 31, Kiner reported a net income of $120,000 for the year.
Instructions
Prepare all the necessary journal entries for 2014 for (a) Eusey Cosmetics and (b) Dickson Inc.

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...