Keller Corporation acquired 75 percent of the ownership of Tropic Company on January 1, 20X1. The purchase differential paid by Keller is assigned to buildings and equipment and expensed over 10 years. Financial statement data for the two companies and the consolidated entity at December \(31,20 \mathrm{X} 6\), are as follows:

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a. What amount of purchase differential was paid by Keller in acquiring its ownership of Tropic?

b. What amount should be reported as accumulated depreciation for the consolidated entity at December 31, 20X6?

c. If Tropic reported retained earnings of \(\$ 30,000\) on January 1, 20X1, what amount did Keller pay to acquire its ownership in Tropic?

d. What balance does Keller report as its investment in Tropic at December 31, 20X6?

e. What amount of intercorporate sales of inventory occurred in 20X6?

f. What amount of unrealized inventory profit exists at December 31, 20X6?

g. Assuming all unrealized profits on intercompany inventory sales at January 1, 20X6, were on Keller's books, were the inventory sales during 20X6 upstream or downstream? How do you know?
h. Give the eliminating entry used in eliminating intercompany inventory sales during 20X6.
\(i\). Assuming all unrealized profits on intercompany inventory sales at January 1, 20X6, were on Keller's books, what was the amount of unrealized profit at January 1, 20X6?
\(j\). What balance in accounts receivable was reported by Keller at December 31, 20X6?

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Item Keller Corporation and Tropic Company Balance Sheet Data December 31, 20X6 Keller Corporation Tropic Company Consolidated Entity Inventory Cash Accounts Receivable Buildings and Equipment Less: Accumulated Depreciation Investment in Tropic Company $ 67,000 ? $ 45,000 $112,000 55,000 145,000 125,000 90.000 211,000 400.000 240.000 670,000 (180.000) (110.000) (?) ? Total Assets Accounts Payable Other Payables $ ? $320,000 $ ? $ 86,000 $ 20.000 8.000 $ 89.000 Notes Payable Common Stock 250.000 120,000 370.000 120,000 60.000 120,000 Retained Earnings 180.000 112,000 177,000 Noncontrolling Interest 42.000 Total Liabilities and Equities ? $320,000 $ ?