8. Constructing the Consolidated Balance Sheet at Acquisition On January 1 of the current year, Liu Company purchased all of the common shares of Reed Company for $380,000 cash. Balance sheets of the two firms immediately after the acquisition follow. During purchase negotiations, Reed's PPE was appraised at $332,000, and all of its remaining assets and liabilities were appraised at values approximating their book values. Liu also concluded that an additional $33,000 (for goodwill) demanded by Reed's shareholders was warranted because Reed's earning power was better than the industry average. Prepare the consolidating adjustments and the consolidated balance sheet at acquisition