Proha Company acquired all of Sonara Company's voting stock on December 31,2013 for $25 million cash. The book value of Sonara's net assets on that date was $5 million. The book values of Sonara's individual assets and liabilities approximated fair value, except for inventory, which was overvalued by $1 million, plant assets, which were undervalued by $0.6 million, and unreported identifiable intangibles valued at $4.5 million. Given below are condensed balance sheets for Proha Company before and after consolidation of Sonara Company. Inventory is included in current assets.

Required
a. Determine the working paper entries that were made in consolidation.
b. Prepare Sonara Company's separate condensed balance sheet at December 31,2013.

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Proha Company Prior to Consolidation Consolidated Assets Plant assets, net.... nvestment in Sonara. Identifiable intangible assets . . ._ $5,000,000 25,000,000 25,000,000 $ 6,000,000 35,000,000 4,500,000 15,900,000 $55,000,000 $61,400,000 Liabilities and Stockholders' Equity Liabilities. Stockholders' equity $24,000,000 31,000,000 $55,000,000 $30,400,000 31,000,000 $61.400,000