Separate-company financial statements for Pun Corporation and its subsidiary, Son Company, at and for the year ended December 31, 2012, are summarized as follows (in thousands):

ADDITIONAL INFORMATION1. Pun Corporation acquired 13,500 shares of Son Company stock for $15 per share on January 1, 2011, when Son's stockholders' equity consisted of $150,000 capital stock and $15,000 retained earnings.2. Son Company's land was undervalued when Pun acquired its interest, and accordingly, $20,000 of the fair value/book value differential was assigned to land. Any remaining differential is goodwill.3. Son Company owes Pun $5,000 on account, and Pun owes Son $5,000 on a note payable.REQUIRED: Prepare consolidation workpapers for Pun Corporation and Subsidiary for the year ended December 31,2012.

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Pun Son Balance Sheet at December 31 $ 18 $ 15 Cash Accounts receivable-net Dividends receivable from Son Note receivable from Pun 80 20 7.2 Inventory Investment in Son 95 226.8 10 Land 65 30 80 Buildings-net Equipment-net Total assets 170 130 50 $792 $210 $ 85 Accounts payable Note payable to Son Dividends payable Capital stock, $10 par Retained earnings Total equities $ 10 8. 500 202 150 42 $792 $210