On January 2, THT company acquired 40% of the outstanding stock of First Alert Company for $155,000.

Question:

On January 2, THT company acquired 40% of the outstanding stock of First Alert Company for $155,000. For the year ending December 31, first Alert Company earned income of $42,000 and paid dividends of $12,000. Prepare the entries for THT Company for the purchase of the stock, share of First Alert income, and dividends received from First Alert Company.