please answer within the format with detailed working, please answer in text form(without image) Metlock Michael Inc. acquired 20% of the outstanding common stock of Theresa Ivanhoe Inc. on December 31, 2025. The purchaseprice was $1,127,000 for 49,000 shares. Ivanhoe Inc. declared and paid an $0.90 per share cash dividend on June 30 and onDecember 31, 2026. Ivanhoe reported net income of $781,000 for 2026. The fair value of Ivanhoe's stock was $26 per share atDecember 31, 2026. Assume that the security is a trading security.Prepare the journal entries for Metlock Michael Inc. for 2025 and 2026, assuming that Michael cannot exercise significantinfluence over Ivanhoe. (List all debit entries before credit entries. Credit account titles are automatically indented when amount isentered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. RecordJournal entries in the order presented in the problem.)DateAccount Titles and ExplanationDateEquity InvestmentsList of AccountsCashCash(To record dividend.)Dividend RevenueUnrealized Holding Gain or Loss - Equity(To record fair value.)eTextbook and MediaList of AccountsFair Value AdjustmentAccount Titles and ExplanationPrepare the journal entries for Metlock Michael Inc. for 2025 and 2026, assuming that Michael can exercise significant influenceover Ivanhoe. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Donot indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Record journal entries inthe order presented in the problem.)(To record dividend.)(To record revenue.)eTextbook and MedialInvestment amount (balance sheet)Dividend revenue (income statement)Unrealized holding gain (income statement)Investment income (income statement)At what amount is the investment in securities reported on the balance sheet under each of these methods at December 31,2026? What is the total net income reported in 2026 under each of these methods?$DebitFair Value Method1127000$DebitCreditEquity Method112Credit

A journal entry records a business transaction in the accounting system for an organization. Journal…

Metlock Michael Inc. acquired 20% of the outstanding common stock of Theresa Ivanhoe Inc. on December 31, 2025. The purchase price was $1,127,000 for 49,000 shares, Ivanhoe Inc. declared and paid an $0.90 per share cash dividend on June 30 and on December 31, 2026. Ivanhoe reported net income of $781,000 for 2026. The fair value of Ivanhoe's stock was $26 per share at December 31, 2026. Assume that the security is a trading security. Prepare the journal entries for Metlock Michael Inc. for 2025 and 2026, assuming that Michael cannot exercise significant influence over Ivanhoe. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Record Journal entries in the order presented in the problem.) Date Account Titles and Explanation Date Equity Investments List of Accounts Cash Cash (To record dividend.) Dividend Revenue List of Accounts Fair Value Adjustment (To record fair value.) eTextbook and Media Unrealized Holding Gain or Loss - Equity Account Titles and Explanation Prepare the journal entries for Metlock Michael Inc. for 2025 and 2026, assuming that Michael can exercise significant influence over Ivanhoe. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Record journal entries in the order presented in the problem.) (To record dividend.) (To record revenue.) eTextbook and Media Investment amount (balance sheet) Dividend revenue (income statement) Unrealized holding gain (income statement) Investment income (income statement) At what amount is the investment in securities reported on the balance sheet under each of these methods at December 31, 2026? What is the total net income reported in 2026 under each of these methods? $ Debit Fair Value Method 1127000 $ Debit Credit Equity Method 112 Credit