4. Company S has been an 70%-owned subsidiary of Company P since January 1, 2020. The determination and distribution of excess schedule prepared at the time of purchase was as follows: (Ch BE6-1.2.3 PB-1,2,3) (Go with the 70% ownership)(Update D&D of excess for 70% on 11/27) Entity FV Entity $814.208 70% Parent 30% NCI $570,000 $ 244,288 Book value: Pain-in capital in excess of par 300.000 Retained earnings 1/1/20 300.000 Book value 600.000 420,000 Excess $214.28 $ 150.000 180,000 $ 64.288 Equipment Goodwill Total $ 50.000 164.206 $214.26 10 YE 5,000 On January 2, 2020, Company P issued $120,000 of 8% bonds at face value to help finance the purchase of 25% of the outstanding common stock of Alpha Company for $200,000. No excess resulted from this transaction. Alpha earned $100,000 net income luring 2020 and paid $20,000 in dividends. The only change in plant assets during 2020 was that Company S sold a machine for $10,000. The machine had a cost of $80,000 and accumulated depreciation of $40.000. Depreciation expense recorded during 2020 was as follows: Buildings Machinery Company P $15,000 35,000 Company S $8,000 Alpha Company $12,000 20.000 4,000 The 2020 consolidated income was $180,000, of which the NCI was $10,000. Company P paid dividends of $12.000, and Company S paid dividends of $10,000. Consolidated inventory was $287,000 in 2019 and $223,000 in 2020, consolidated current liabilities were $246,000 in 2019 and $218.700 in 2020. Cash increased by $202,700. Required: Using the indirect method and the information provided, prepare the 2020 consolidated statement of cash flows for Company P. and its subsidiary. Company S