(Solved): On March 31, 2024, Chow Brothers, Incorporated, bought 6% of KT Manufacturing's capital stock for ...

On March 31, 2024, Chow Brothers, Incorporated, bought $6\%$ of KT Manufacturing's capital stock for $\$54.8$ million. KT's net income for the year ended December 31,2024 , was $\$81.6$ million. The fair value of the shares held by Chow was $\$38.2$ million at December 31 , 2024. KT did not declare or pay a dividend during 2024. Required: 1. Prepare all appropriate journal entries related to the investment during 2024. 2. Assume that Chow sold the stock on January 20,2025 , for $\$31.6$ million. Prepare the journal entries to record the sale. Answer is not complete. Complete this question by entering your answers in the tabs below. Prepare all appropriate journal entries related to the investment during 2024. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5). Journal entry worksheet Note: Enter debits before credits. Journal entry worksheet Record the sale of stock on January 20,2025 for $\$31.6$ million. Note: Enter debits before credits.