2. Following are selected accounts for Mergaronite Company and Hill, Inc., as of December 31, 2018. Several of Mergaronite's accounts have been omitted. Credit balances are indicated by parentheses. Dividends were declared and paid in the same period. Hill Mergaronite $(600.000) 280,000 $(250,000 Revenues Cost of goods sold. . Depreciation expense . 100,000 50,000 120,000 NA Not given (900,000) 130,000 200,000 300,000 500,000 Investment income . (600,000) 40,000 Dividends declared. 690,000 90,000 140,000 Land. Buildings (net) Equipment (net) Liabilities . .. . Common stock 250.000 200,000 (400,000) (300.000) (50,000) (310,000) (40,000) (160,000) Additional paid-in capital.. Assume that Mergaronite took over Hill on January 1, 2014, by issuing 7,000 shares of common stock having a par value of S10 per share but a fair value of $100 each. On January 1, 2014, Hill's land was undervalued by $20,000, its buildings were overvalued by $30,000, and equipment was undervalued by S60 ,000. The buildings had a 10-year remaining life: the equipment had a 5-year remaining life. A customer list with an appraised value of $100,000 was developed internally by Hill and was to be written off over a 20-year period. a. Determine and explain the December 31, 2018, consolidated totals for the following accounts Amonization Expense Customer List Buildings Revenues Cosfof Goods Sold Customer List Common Stock Depreciation Expense Equipment Additional Paid-In Capital b. In requirement (a), why can the consolidated totals be determined without knowing which method the parent used to account for the subsidiary? c. If the parent uses the equity method, what consolidation entries would be used on a 2018 worksheet