Manwill Company owns 40% (30,000 shares) of Hall Company’s voting stock. Since Manwill has a significant interest in Hall, it uses the equity method of accounting for the investment. Hall reported the following information for the year:

1. Hall earned net income of $80,000.

2. Hall paid dividends of $20,000.

3. Hall’s stock value increased from $40 to $45.

Make the necessary journal entry (or entries) to record the change in value of Manwill’s investment in Hall.