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5 Check my work The following selected transactions relate to investment activities of Ornamental Insulation Corporation during 2021. The company buys debt securities, intending to profit from short-term differences in price and maintaining them in an active trading portfolio. Ornamental's fiscal year ends on December 31. No investments were held by Ornamental on December 31, 2020. 2 points Mar. 31 Aequired Distribution Transformers Corporation bonds costing $450,000 at face value. Sep. 1 Required $1,050,000 of American Instruments' 104 bonds at face value Sep. 30 Received semiannual interest payment on the Distribution Transformers bonds. Oct. 2 Sold the Distribution Transformers bonds for $500,000. Nov. 1 Purchased $1,650,000 of MD Corporation 61 bonds at face value. Dec. 31 Recorded any necessary adjusting entry() relating to the investments. The market prices of the investments are eBook Print References American Instruments bonds MED Corporation bonds $1,005,000 $1,715,000 (Hint: Interest must be accrued.) Required: 1. Prepare the appropriate journal entry for each transaction or event during 2021, as well as any adjusting entries necessary at year end. 2. Indicate any amounts that Ornamental Insulation would report in its 2021 income statement, 2021 statement of comprehensive income, and 12/312021 balance sheet as a result of these investments. Include totals for net income, comprehensive income, and retained earnings as a result of these investments. Complete this question by entering your answers in the tabs below. aints The following selected transactions relate to investment activities of Ornamental Insulation Corporation during 2021. The company buys debt securities, not intending to profit from short-term differences in price and not necessarily to hold debt securities to maturity, but to have them available for sale in years when circumstances warrant. Ornamental's fiscal year ends on December 31. No investments were held by Ornamental on December 31, 2020. Mar. 31 acquired 66 Distribution Transformers Corporation bonds costing $530,000 at face value. Sep. 1 Aequired $1,095,000 of American Instrunohta' e bonds at face value. Sep. 30 Received semiannual interest payment on the Distribution Transformers bonds. Oet. 2 sold the Distribution Transformers bonds for $568,000. Nov. 1 Purchased $1,530,000 of M&D Corporation 41 bonds costing at face value. Dee. 31 Recorded any necessary adjusting entry(s) relating to the investments. The market prices of the investments are: eBook Print References American Instruments bonds MED Corporation bonds $1,032,000 $1,603,000 (Hint: Interest must be accrued.) Required: 1. Prepare the appropriate journal entry for each transaction or event during 2021, as well as any adjusting entries necessary at year end. For any sales, prepare entries to update the fair value adjustment, record any reclassification adjustment, and record the sale. 2. Indicate any amounts that Ornamental Insulation would report in its 2021 income statement, 2021 statement of comprehensive income, and 12/312021 balance sheet as a result of these investments. Include totals for net income, comprehensive income, and retained earnings as a result of these investments Complete this question by entering your answers in the tabs below. The following selected transactions relate to investment activities of Ornamental Insulation Corporation during 2021. The company buys equity securities as noncurrent investments. None of Ornamental's investments are large enough to exert significant influence on the investee. Ornamental's fiscal year ends on December 31. No investments were held by Ornamental on December 31, 2020, Mar. 31 Acquired Distribution Transformers Corporation common stock for $470,000. Sep 1 Acquired $1,005,000 of American Instruments' common stock. Sep. 30 Received a $14,100 dividend on the Distribution Transformers common stock. Oct. 2 Sold the Distribution Transformers common stock for $502,000. 1 Purchased $1,470,000 of M&D Corporation common stock. Dec. 31 Recorded any necessary adjusting entry(s) relating to the investments. The market prices of the investments are: Nov. American Instruments common stock M&D Corporation common stock $ 948,000 $1,537,000 Required: 1. Prepare the appropriate journal entry for each transaction or event during 2021, as well as any adjusting entries necessary at year-end. 2. Indicate any amounts that Ornamental Insulation would report in its 2021 income statement, 2021 statement of comprehensive income, and 12/31/2021 balance sheet as a result of these investments. Include totals for net income, comprehensive income, and retained earnings as a result of these investments. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare the appropriate journal entry for each transaction or event during 2021, as well as any adjusting entries necessary at y (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Northwest Paperboard Company, a paper and allied products manufacturer, was seeking to gain a foothold in Canada. Toward that end, the company bought 40% of the outstanding common shares of Vancouver Timber and Milling, Inc., on January 2, 2021, for $520 million. At the date of purchase, the book value of Vancouver's net assets was $835 million. The book values and fair values for all balance sheet items were the same except for inventory and plant facilities. The fair value exceeded book value by $5 million for the inventory and by $30 million for the plant facilities. The estimated useful life of the plant facilities is 15 years. All inventory acquired was sold during 2021. Vancouver reported net income of $140 million for the year ended December 31, 2021. Vancouver paid a cash dividend of $30 million. Required: 1. Prepare all appropriate journal entries related to the investment during 2021. 2. What amount should Northwest report as its income from its investment in Vancouver for the year ended December 31, 2021? 3. What amount should Northwest report in its balance sheet as its investment in Vancouver? 4. What should Northwest report in its statement of cash flows regarding its investment in Vancouver? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 and 3 Reg 4 Prepare all appropriate journal entries related to the investment during 2021. (If no entry is required for a transaction/event, se journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place, (l.e., 5,500,000 shot entered as 5.5).) M

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