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Requlred Information

$[$The following information applies to the questions alsplayed below.$]$

As a long$-$term Investment, Palnters' Equlpment Company purchased $20\%$ of AMC Supplies Incorporated's $430,000$ shares

for $$510,000$ at the beginning of the fiscal year of both companies. On the purchase date, the falr value and book value of

AMC's net assets were equal. During the year. AMC earned net income of $$280,000$ and distributed cash dividends of $15$

cents per share. At year$-$end, the fair value of the shares is $$538,000.$

Required:

Assume no significant Influence was acquired. Prepare the appropriate journal entries from the purchase through the end of the

year.

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" In the first account fleld.

Journal entry worksheet

Record any necessary year$-$end adjusting journal entry when the fair value of

the shares held are $$538,000.$