Accounting for a Consolidation On January 1 of the current year, Bradshaw Company purchased all of the common shares of Dukes Company for $480,000 cash-this is $160,000 in excess of Dukes book value of its equity. The balance sheets of the two firms immediately after the acquisition follow Bradshaw (Parent) Dukes Subsidiary Current $500,000 $80,000 Investment in Du 400000 ne 2.400.000 320000 Goodw 1380,000 $400.000 Lubien $800.000 180,000 Contributed capital 1,400,000 140.000 Tutal abilities and equity 1280000 11.680,000 140.000 $400,000 During purchase negotiations, Dukes PPE was appraised at $400,000, and all of Dukes remaining assets and labities were appraised at values approximating their book values. Also, Bradshaw concluded that payment of an additional $80,000 was warranted because of anticipated corporate synergies Required Show the impact of the post-acquisition consolidating entry in the financial statement effects template Note For each account category, indicate the appropriate account name Enter "N/A" for any account category that is not used for a given transaction Note Indicate a decrease in an account category by including a negative sign with the amount Transaction d) Content for Bradshaw Balance Sheet Cash Asset Noncash Assets Income Statement Contrib Capital Earned Capital Revenues Required a. Show the impact of the post-acquisition consolidating entry in the financial statement effects template Note For each account category, indicate the appropriate account name. Enter "N/A" for any account category that is not used for a given transaction Note: Indicate a decrease in an account category by including a negative sign with the amount Balance Sheet Cash Transaction Asset (1) Consolidation adjustment for Bradshaw Noncash Assets Goodwil 480.000 = b. Prepare the consolidated balance sheet at acquisition. Current assets Investment in Du PPE net Bradshaw Dukes Consolidating (Parent) (Subsidiary) Adjustments Consolidated $800.000 480.000 2.400.000 $80,000 05 320.000 Goodwill Total asses Uabilities 0 $3.680.000 $800.000 $400,000 $80.000 $ Contributed capital 1,400.000 160,000 Retained earnings 1260.000 160.000 Total abilities and equity $1.480.000 $400,000 Liabilities Contrib Capital Earned Capital = Current assets Dukes common stock Dukes retained earnings Goodwil Investment in Dukes NIA Income Statement Revenues Show the impact of the post-acquisition consolidating entry in the financial statement effects template Note For each account category, indicate the appropriate account name. Enter N/A for any account category that is not used for a given transaction Note indicate a decrease in an account category by including a negative sign with the amount Good Noncash Assets 40000 Liabilities b. Prepare the consolidated balance sheet at acquisition Bradshaw Dukes Consolidating (Parent) (Subsidiary) Adjustments Consolidated $800.000 10000 Cument assets mert in Dukes 80.000 2,400.000 300.000 Goodw D $3580.000 $400,000 Labtes $800,000 $80.000 Contributed capital 1000000 0000 Retained cuming 1.280.000 160.000 Total ties and equity $1.680000 1400.000 Income Statement Contrib Earned Capital Capital Revenues Net Expenses