Exercise 12-24 (Algo) Equity method, partial year (L012-6, 12-7) On July 1, 2021, Gupta Corporation bought 25% of the outstanding common stock of VB Company for $140 million cash, giving Gupta the ability to exercise significant influence over VB's operations. At the date of acquisition of the stock, VB's net assets had a total fair value of $480 million and a book value of $280 million. Of the $200 million difference. $44 million was attributable to the appreciated value of inventory that was sold during the last half of 2021, $128 million was attributable to buildings that had a remaining depreciable life of 10 years, and $28 million related to equipment that had a remaining depreciable life of 5 years. Between July 1, 2021, and December 31, 2021, VB earned net income of $60 million and declared and paid cash dividends of $52 million. Required: 1. Prepare all appropriate journal entries related to the investment during 2021, assuming Gupta accounts for this investment by the equity method 2. Determine the amounts to be reported by Gupta. Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare all appropriate journal entries related to the investment during 2021, assuming Gupta accounts for this investment by the equity method. (If no entry is required for a transaction/event, select "No journal entry required in the first account field, Do not round Intermediate calculations. Enter your answers in millions rounded to 2 decimal places (1, 5,500,000 should be entered as 5.50).) Show less Required 1 Required 2 Prepare all appropriate journal entries related to the investment during 2021, assuming Gupta accounts for this investment by the equity method. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round intermediate calculations. Enter your answers in millions rounded to 2 decimal places (i.e., 5,500,000 should be entered as 5.50).) Show less No Transaction Credit 1 1 General Journal Investment in equity affiliate Cash Debit 140.00 140.00 2 2 Investment in equity affiliate Investment revenue 3 3 Cash Investment in equity affiliate Os 4 4 Investment revenue Investment in equity affiliate O Required 2 > Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine the amounts to be reported by Gupta. (Amounts to be deducted, including losses and cash outflows, should be indicated with a minus sign. Do not round Intermediate calculations. Enter your answers in millions rounded to 2 decimal places (.e., 5,500,000 should be entered as 5.50).) a. Investment in Gupta's December 31, 2021, balance sheet b. Investment revenue (loss) in Guptas 2021 income statement c. Investing activities in Gupta's 2021 statement of cash flows ($ in millions) $ 0.00 s 0.00 $ 0.00