On January 1, 2011, Papa Doc Donuts, purchased 30,000 shares of Frenchie's Beignets gives Papa Doc Donuts a 7.5% stake in Frenchie's Beignets. On January 1, 2013, Papa D additional 90,000 shares for $6 per share gaining an additional 22.5% stake in Frenchies gave Papa Doc Donuts the ability to apply significant influence over Frenchie's Beignets was categorized and accounted for as an available for sale security. Frenchie's Beignets reports net income cash dividends and per share prices as follows. T have occurred evenly throughout these years. Cash dividends are declared and paid in th

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Situation 1: Novak Cosmetics acquired 10% of the 193,000 shares of common stock of Martinez Fashion at a total cost of $14 per share on March 18, 2025. On June 30, Martinez declared and paid $67,500 cash dividends to all stockholders. On December 31, Martinez reported net income of $118,700 for the year. At December 31, the market price of Martinez Fashion was $15 per share. Situation 2: Splish, Inc. obtained significant influence over Seles Corporation by buying 40% of Seles's 30,700 outstanding shares of common stock at a total cost of $8 per share on January 1, 2025. On June 15, Seles declared and paid cash dividends of $38,300 to all stockholders. On December 31, Seles reported a net income of $84,200 for the year. Prepare all necessary journal entries in 2025 for both situations. (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…

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Subject: acounting