E13.8 (LO 2, 3) Presented below are two independent situations. 1. Chicory Cosmetics acquired 15% of the 200,000 ordinary shares of Racine Fashion at a total cost of 13 per share on March 18, 2020. On June 30, Racine declared and paid a 60,000 dividend. On December 31, Racine reported net income of 122,000 for the year. At December 31, the market price of Racine Fashion was 15 per share. The shares are classified as non-trading. 2. Frank Ltd. obtained significant influence over Nowak Industries by buying 30% of Nowaks 30,000 outstanding ordinary shares at a total cost of 9 per share on January 1, 2020. On June 15, Nowak declared and paid a cash dividend of 30,000. On December 31, Nowak reported a net income of 80,000 for the year. Instructions Prepare all the necessary journal entries for 2020 for (a) Chicory Cosmetics and (b) Frank Ltd