On January 1, 2011, Fox acquired 70% of the shares (cum div.) of Logan for $141,950. At this date, the equity of Logan consisted of:

Share capital .............$100,000

Retained earnings.......... 56,000

Cumulative other comprehensive income.. 9,000

Logan€™s records showed a dividend payable at January 1, 2011, of $10,000. The dividend was paid on April 1, 2011.

A comparison of the carrying amounts and fair values of Logan€™s assets at January 1, 2011, revealed the following:

Both plant and vehicles were expected to have a further five-year life, with benefits being received evenly over those periods. Logan had not recorded an internally generated brand name for an item that was considered by Fox to have a fair value of $20,000. The brand name is regarded as having an indefinite useful life. At December 31, 2011, goodwill was considered to be impaired by $1,000, and a further impairment loss of $2,000 was recognized in 2012.
Fox uses the full goodwill method. The fair value of the non-controlling interest at January 1, 2011, was $57,000 based on the market value of the Logan shares. Both companies pay tax at a rate of 30%.
Additional information:
1. The dividends paid and declared since January 1, 2011, are:
€¢ $10,000 dividend declared in December 2011, paid in April 2012
€¢ $5,000 dividend declared in December 2012, paid in March 2013
€¢ $8,000 dividend paid in October 2013
2. The plant on hand at January 1, 2011, was sold on December 31, 2013.
3. The cumulative other comprehensive income account reflects movements in the fair values of financial assets. The balances of this account at January 1, 2013, were $4,000 (Fox) and $11,000 (Logan).
4. On December 31, 2013, the financial data of both companies were:

Required
Prepare the consolidated financial statements of Fox as at December 31, 2013.

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Carrying amount Plant (cost $75,000) Vehicles (cost $40,000) Goodwill $45,000 23,000 10,000 Fair value $60,000 23,000 Fox Logan Revenues Expenses Income before tax Income tax expense Net income Retained earnings (1/1/13) Total available for appropriation Dividend paid Retained earnings (31/12/13) Share capital Cumulative other comprehensive income Accounts payable $280,000 220,000 60,000 26,000 34,000 76,000 110,000 20,000 90,000 100,000 6,000 64,000 $260,000 $ 22,050 20,000 23,000 30,000 30,000 $190,000 140,000 50,000 14,000 36,000 65,000 101,000 8,000 93,000 100,000 9,000 23,000 $225,000 43,000 30,000 20,000 45,000 Cash Financial assets Vehicles-net Plant and equipment net Land Goodwill Accumulated impairment Trademarks Investment in Logan 10,000 (3,000) 80,000 134,950 $260,000 $225,000