Answer:
The Journal entries are for January 1, 2020 and January 31st, 2020 and they are explained and detailed in the explanation.
Explanation:
The question is to prepare the Journal entries for the Year 2020 for the Events of Mitchell Corporation
Date Particulars Debit Credit
Jan 1, Mitchell's Investment in turner $10,000,000
Cash Ac (paid for the investment) $10,000,000
Being the record of $10,000,000 paid for investment in Turner
Date Particulars Debit Credit
Dec 31, Investment in Turner Corp
(0.3 x 1,000,000) $300,000
Income from Turner (based on $300,000
Mitchell's equity)
Being the income for Mitchell as a result of equity in Turner
Date Particulars Debit Credit
Dec 31, Cash A/c $75,000
(0.3 x 250,000)
Investment in Turner $75,000
Being the recording of Dividend received by Mitchell from the investment in Turner
Date Particulars Debit Credit
Dec 31, Other Comprehensive Income A/c 24,000
(0.3 x 80,000)
Investment in Turner $24,000
Being the recording of the Unrealised Loss.
