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BE16-12 (similar to) Question Help On January 1, Melton acquired a 35% interest in the...

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BE16-12 (similar to) Question Help On January 1, Melton acquired a 35% interest in the common shares of Jingle Entertainment at a cost of $4 299,000. During the year, Jingle reported a net loss of $631,000 and paid no dividends. At acquisition, AutoZone's market value equaled the book value of its net assets. Prepare the journal entries required to record the above events assuming that Melton uses the equity method to account for its investment in Jingle Begin by recording the journal entry for investment at cost. Do not record the entry for share of net loss. We will do that in the next step. (Record debits first, then credits. Exclude explanations from any journal entries.) Account Entry at Acquisition

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