On July $1,2024,$ Clearwater Incorporated purchased $5,000$ shares of the outstanding common stock of Mountain Corporation at a cost of $$130,000.$ Clearwater will have significant influence over the financial and operating policies of Mountain. Mountain had $25,000$ shares of outstanding common stock. Assume the total book value and fair value of identifiable net assets is $$600,000.$ Both companies have a January through December fiscal year. The following data pertains to Mountain Corporation during $2024$:

Dividends declared and paid, January $1$June $30$ $ $11,500$

Dividends declared and paid, July $1$December $31$ $ $11,500$

Net income, January $1$June $30$ $ $13,500$

Net income, July $1$December $31$ $ $17,500$

Required:

Prepare the entry to record the original investment in Mountain.

Compute the goodwill $($if any$)$ on the acquisition.

Prepare the necessary entries $($other than acquisition$)$ for $2024$ under the equity method.