Assessing Financial Statement Effects of Equity Method Securities Use the financial statement effects template to record the following transactions involving investments in marketable securities accounted for using the equity method. a. Purchased 12,000 common shares of Bakersfield Co. at $7 per share; the shares represent 30% ownership in Bakersfield. b. Received a cash dividend of $0.80 per common share from Bakersfield. c. Bakersfield reported annual net income of $40,000. d. Sold all 12,000 common shares of Bakersfield for $90,000. Use negative signs with answers, if appropriate. Transaction a. Purchased shares of Bakersfield. b. Received cash dividend from Bakersfield. c. Bakersfield reported annual net income. d. Sold all Bakersfield shares. Check Balance Sheet Income Statement Cash Asset + (84,000) 9,600 0 Noncash Assets Contrib. Liabilities Captial Earned Capital Revenues Expenses = Net income 84,000 0 0 0 0 0 0 (9,600) 0 0 0 0 0 0 12,000 0 0 12,000 90,000 (84,000) x 0 0 0 12,000 0 0 12,000 0