Refer to Problem 14-5A. Cord Company uses the equity method. Assume the following are from the adjusted trial balances of Cord Company and Thorpe Company on December 31, 1999:

There is no intercompany debt at the end of the year.

Prepare a work sheet for consolidated financial statements on December 31, 1999. Ignore the amortization of goodwill.

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Cash. Debit Balance Accounts Cord Company Thorpe Company $ 351,000 $ 3:5,000 378,000 180,000 Accounts receivable, net Merchandise inventory, December 31 Notes receivable. Investment in Thorpe Company 315,000 45,000 495,000 287,100 2,790,000 Equipment, net Buildings, net Land. 615,600 427,500 1,814,400 950,400 765,000 405,000 Cost of goods sold 1,800,000 630,000 Expenses (excluding depreciation and taxes) 720,000 270,900 Depreciation expense 108,000 62,100 Income tax expense 585,000 189,000 Dividends Total of the accounts with debit balances 540,000 108,000 $11,277,000 $3,870,000 Credit Balance Accounts Accounts payable Notes payable. Common stock-$45 par value Retained earnings-January 1. Revenue from sales Income of Thorpe Company Total of the accourts with credit balances.. 135,000 $180,000 144,000 90,000 5,400,000 1,800,000 1,800,000 450,000 3,600,000 1,350,000 198,000 $11,277,000 $3,870,000