question 1

On May 1, 2020, Twilight Corporation invested some of its idle cash in acquiring 4,000 common shares of Daylight Company at a price of $5 per share. On August 15, 2020, dividends totalling $455 were received by Twilight Corporation from Daylight Company. On December 31, 2020, the Daylight Company common shares had a market price of $8 each. On March 18, 2021, Twilight Corporation sold half of the shares of Daylight Company for $17,258. Assume that Twilight Corporation has a December 31 year end and that the Corporation will use the fair value through net income (FV-NI) method to account for its investment in the shares of Daylight Company, Required Prepare Twilight's journal entries for the investment in Daylight Company shares on each of the following dates: May 1, 2020 August 15, 2020 December 31, 2020 March 18, 2021