P3-2 Allocation schedule for fair value/book value differential and consolidated balance sheet at acquisition Pop Corporation acquired 70 percent of the outstanding common stock of Son Corporation on January 1, 2016, for $350,000 cash. Immediately after this acquisition the balance sheet information for the two companies was as follows (in thousands):

Son Pop Book Value Book Value Fair Value Assets Cash $ 70 $ 40 $ 40 Receivables—net 160 60 60 Inventories 140 60 100 Land 200 100 120 Buildings—net 220 140 180 Equipment—net 160 80 60 Investment in Son 350 — —
Total assets $1,300 $480 $ 560 Liabilities and Stockholders’ Equity Accounts payable $ 180 $160 $160 Other liabilities 20 100 80 Capital stock, $20 par 1,000 200 Retained earnings 100 20 Total equities $1,300 $480 REQuIRED 1. Prepare a schedule to assign the difference between the fair value of the investment in Son and the book value of the interest to identifiable and unidentifiable net assets.
2. Prepare a consolidated balance sheet for Pop Corporation and Subsidiary at January 1, 2016.