Adjusted trial balances for Pal and Sor Corporations at December 31, 2011, are as follows (in thousands):

Pal purchased all the stock of Sor for $1,600,000 cash on January 1, 2011, when Sor's stockholders' equity consisted of $200,000 capital stock and $360,000 retained earnings. Sor's assets and liabilities were fairly valued except for inventory that was undervalued by $80,000 and sold in 2011, and plant assets that were undervalued by $160,000 and had a remaining useful life of four years from the date of the acquisition.
REQUIRED
Prepare a consolidated balance sheet for Pal Corporation and Subsidiary at December 31, 2011.

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Pal Sor Debits Current assets Plant assets-net Investment in Sor Cst ofsaks Other expenses Dividends $ 400 1.200 $ 960 2,000 1.680 1AN0 400 200 440 1.200 200 3,000 Credits Liabilities Capital stock $1,800 1,200 1,360 2,000 $840 200 360 1,600 Sales Income from Sor HD 3,000