On January 1, 2015 Kardashian Company purchased 100 of the 1000 shares of West Company for $40,000. At this time all of West's assets fair market values approximated their book value. With this 10% ownership, Kardashian was unable to have a significant influence over West. In 2015, West reported income of $10,000; and paid a dividend of $2000. On December 31, West's stock was selling for $425 per share. On January 1, 2016 Kardashian Company purchased another 200 shares of West Company for $85000. With this additional purchase, Kardashian now has significant influence over West. At the time of purchase, any excess of market price over the value of West's assets was attributable to goodwill. In 2016 West reported a profit of $4000 and paid a dividend of $1000. On December 31, 2016; West's stock is selling for $435 per share. In 2017 West company reported a loss of $2000 and paid a dividend of $800. On December 31, 2017 West's stock was selling for $390 per share. On January 5th 2018 Kardashian sold its entire investment in West for $404 per share.
REQUIRED:
PREPARE ALL THE NECESSARY JOURNAL ENTRIES FOR KARDASHIAN DUE TO ITS INVESTMENT IN WEST FOR A) 2015 B) 2016 C) 2017 D) 2018.