River Corporation was organized on January 2, 2014. River Corporation issued 50,000 common shares for $250,000 on that date. The following investment transactions and events subsequently occurred:
Assume that River Corporation has significant influence over Turner Ltd. with its 24% share.
Required 1. Give the entries to record the preceding transactions in River Corporation’s books. 2. Calculate the carrying value per share of River Corporation’s investment as reflected in the investment account on January 1, 2016. 3. Calculate the change in River Corporation’s equity from January 12, 2014, through January 6, 2016, resulting from its investment in TurnerLtd.