Par Corporation acquired an 80 percent interest in Sin Corporation on January 1, 2011, for $108,000 cash, when Sin's capital stock was $100,000 and retained earnings were $10,000. The difference between investment fair value and book value acquired is due to a patent being amortized over a 10- year period. Separate financial statements for Par and Sin on December 31, 2014, are summarized as follows (in thousands):

ADDITIONAL INFORMATION1. Sin's sales include intercompany sales of $8,000, and Par's December 31, 2014, inventory includes $1,000 profit on goods acquired from Sin. Par's December 31, 2013, inventory contained $2,000 profit on goods acquired from Sin.2. Par owes Sin $4,000 on account.3. On January 1, 2013, Sin sold plant assets to Par for $60,000. These assets had a book value of $40,000 on that date and are being depreciated by Par over five years.4. Park uses the equity method to account for its investment in Sin.REQUIRED: Prepare a consolidation workpaper for Par Corporation and Subsidiary for2014.

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Par Sin Combined Income and Retained Earnings Statement for the Year Ended December 31, 2014 Sales Income from Sin Cost of sales Other expenses Net income Add: Beginning retained earnings Deduct: Dividends Retained earnings December 31 $650 42 $120 (390) (40) (30) 50 20 (170) 132 95.6 (70) $157.6 (20) $ 50 Balance Sheet at December 31, 2014 Cash Accounts receivable $ 58 $ 20 20 35 40 Inventories Plant assets 60 290 205 Accumulated depreciation Investment in Sin (70) (100) 121.6 $499.6 $ 42 $180 $ 30 Total assets Accounts payable Capital stock Retained earnings Total equities 300 157.6 100 50 $499.6 $180