On January 1, 2017, XYZ Company purchased 10,000 shares of the stock of Perry Co, and did obtain significant influence. The investment is intended as a long-term investment. The stock was purchased for $50,000, and represents a 40% ownership stake. Perry made $60,000 of net income in 2017, and paid dividends of $10,000. The price of Perry’s stock increased from $5 per share at the beginning of the year, to $7 per share at the end of the year.Requirements: Prepare the January 1 and December 31 general journal entries for XYZ Company.How much should the XYZ Company report on the balance sheet for the investment in Perry at the end of 2017?