Pot Corporation acquired all the outstanding stock of Ski Corporation on April 1, 2011, for $15,000,000, when Ski's stockholders' equity consisted of $5,000,000 capital stock and $2,000,000 retained earnings. The price reflected a $500,000 undervaluation of Ski's inventory (sold in 2011) and a $3,500,000 undervaluation of Ski's buildings (remaining useful life seven years from April 1, 2011). During 2012, Ski sold land that cost $1,000,000 to Pot for $1,500,000. Pot resold the land for $2,200,000 during 2015. Pot sells inventory items to Ski on a regular basis, as follows (in thousands):

Ski sold equipment with a book value of $800,000 to Pot on January 3, 2015, for $1,600,000. This equipment had a remaining useful life of four years at the time of sale. Pot uses the equity method to account for its investment in Ski. The financial statements for Pot and Ski are summarized as follows (in thousands):

REQUIRED: Prepare a consolidation workpaper for Pot Corporation and Subsidiary for the year ended December 31,2015.

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Percentage Unpaid by Sk at Year End Percentage Unsold by Ski at Year End Cost to Pot Sales to Ski $ 500 1,000 1,200 2011 $300 0% 50 30 20 20 30 2013 18 25 20 720 600 1,000 1,500 2015 900