Browne Corporation purchased 11.000 shares of Schroeder Corporation on January 1. 20X3 , at underlying book value. On December 31. 20X8. Schroeder Corporation reported the following balance sheet amounts:

On January 1, 20X9. Schroeder Corporation issued an additional 5,000 shares of its \(\$ 10\) par value common stock to Nonaffiliated Company for \(\$ 80\) per share.
\section*{Required}

a. Compute the change in book value of the shares held by Browne Corporation as a result of the issuance of additional shares by Schroeder Corporation.
\(b\). Give the entry to be recorded on the books of Browne Corporation to recognize the change in book value of the shares it holds, assuming the change in book value is to be treated as an adjustment to additional paid-in capital.

c. Record the eliminating entry needed to prepare a consolidated balance sheet immediately after the sale of additional shares by Schroeder Corporation.

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Cash $ 80.000 Accounts Receivable 120.000 Accounts Payable Bonds Payable $ 50.000 100.000 Inventory 200.000 Buildings and Equipment 600.000 Common Stock Additional Paid-In Capital 150.000 50.000 Less: Accumulated Depreciation (250,000) Retained Earnings 400.000 Total Assets $750,000 Total Liabilities and Equities $750.000