Acme Corporation has been operating profitably since its creation in $1998.$ At the beginning of $2022,$ Acme acquired a $70$ percent ownership in Beta Company. At the acquisition date, Acme prepared the following fair$-$value allocation schedule:

Consideration transferred for $70\%$ interest in Beta $ $707,000$

Fair value of the $30\%$ noncontrolling interest $303,000$

Beta business fair value $ $1,010,000$

Beta book value $790,000$

Excess fair value over book value $ $220,000$

Assignments to adjust Beta$$s assets to fair value:

To buildings $(20-$year remaining life$)$ $ $60,000$

To equipment $(4-$year remaining life$)(20,000)$

To franchises $(10-$year remaining life$)40,000$

To trademarks $($indefinite life$)140,000$ $ $220,000$

$ $0$

Acme regularly buys inventory from Beta at a markup of $25$ percent more than cost. Acme$$s purchases during $2022$ and $2023$ and related ending inventory balances follow:

Year Intra$-$Entity Purchases Remaining Intra$-$Entity Inventory$$End of Year $($at transfer price$)$

$2022$ $ $120,000$ $ $40,000$

$2023150,00060,000$

During $2024,$ Acme acquired additional inventory from Beta at a price of $$200,000.$ Of this merchandise, $45$ percent is still held at year$-$end.

On January $1,2024,$ Acme and Beta acted together as co$-$acquirers of $80$ percent of Cade Company$$s outstanding common stock. The total price of these shares was $$240,000,$ indicating neither goodwill nor other specific fair$-$value allocations. Each company put up one$-$half of the consideration transferred.

Accounts Acme Corporation Beta Company Cade Company

Sales and other revenues $ $(900,000)$ $ $(700,000)$ $ $(300,000)$

Cost of goods sold $551,000300,000140,000$

Operating expenses $219,000270,00090,000$

Income of Beta Company $(105,000)00$

Income of Cade Company $(28,000)(28,000)0$

Net income $ $(263,000)$ $ $(158,000)$ $ $(70,000)$

Retained earnings, $1/1/24$ $ $(808,800)$ $ $(590,000)$ $ $(150,000)$

Net income $($above$)(263,000(158,000)(70,000)$

Dividends declared $100,00096,00050,000$

Retained earnings, $12/31/24$ $ $(971,800)$ $ $(652,000)$ $ $(170,000)$

Cash and receivables $ $220,000$ $ $334,000$ $ $67,000$

Inventory $390,200320,000103,000$

Investment in Beta Company $810,60000$

Investment in Cade Company $128,000128,0000$

Buildings $385,000320,000144,000$

Equipment $310,000130,00088,000$

Land $180,000300,00016,000$

Total assets $ $2,423,800$ $ $1,532,000$ $ $418,000$

Liabilities $ $(632,000)$ $ $(570,000)$ $ $(98,000)$

Common stock $(820,000)(310,000)(150,000)$

Retained earnings, $12/31/24(971,800)(652,000)(170,000)$

Total liabilities and equities $ $(2,423,800)$ $ $(1,532,000)$ $ $(418,000)$

Note: Parentheses indicate a credit balance.

Required:

Using the three companies' financial records for $2024,$ prepare a consolidation worksheet. The equity method has been applied to each investment.