On January 2, Froxel Company Purchased 10,000 Sandia Corp
On January 2, Froxel Company purchased 10,000 Sandia Corp. ordinary shares at $19 per share plus a $3,000 commission. This represents 30% of Sandia Corp.'s outstanding shares. On August 6, Sandia Corp. declared and paid cash dividends of $1.75 per share, and on December 31 it reported net income of $150,000. Prepare the necessary entries for Froxel to account for these transactions and events.