Kinross Gold Corp. paid $12,000,000 to acquire a 40 percent investment in Minecraft Ltd. Further, assume Minecraft Ltd. reported net income of $1,780,000 for the first year and declared and paid cash dividends of $650,000. Record the following entries in Kinross’s general journal:

Jan. 2 Purchase of the investment. Disregard brokerage commissions on the purchase.

Dec. 31 Kinross’s proportion of Minecraft Ltd.’s net income.

Dec. 31 Receipt of the cash dividends.