Adams Corporation acquired 90 percent of the outstanding voting shares of Barstow, Inc., on December 31, 2013. Adams paid a total of $603,000 in cash for these shares. The 10 percent noncontrolling interest shares traded on a daily basis at fair value of $67,000 both before and after Adamss acquisition. On December 31, 2013, Barstow had the following account balances:

Book Value Fair Value Current assets $ 160,000 $ 160,000 Land 120,000 150,000 Buildings (10-year life) 220,000 200,000 Equipment (5-year life) 160,000 200,000 Patents (10-year life) 0 50,000 Notes payable (5-year life) (200,000 ) (180,000 ) Common stock (180,000 ) Retained earnings, 12/31/13 (280,000 )

December 31, 2015, adjusted trial balances for the two companies follow:

Debit Adams Corporation Barstow, Inc. Current assets $ 610,000 $ 250,000 Land 380,000 150,000 Buildings 490,000 250,000 Equipment 873,000 150,000 Investment in Barstow, Inc. 702,000 0 Cost of goods sold 480,000 90,000 Depreciation expense 100,000 55,000 Interest expense 40,000 15,000 Dividends declared 110,000 70,000

Total debits $ 3,785,000 $ 1,030,000

Credits Notes payable $ 860,000 $ 230,000 Common stock 510,000 180,000 Retained earnings, 1/1/15 1,367,000 340,000 Revenues 940,000 280,000 Investment income 108,000 0

Total credits $ 3,785,000 $ 1,030,000

At year-end, there were no intra-entity receivables or payables.

a.

Prepare schedules for acquisition-date fair-value allocations and amortizations for Adamss investment in Barstow.

b.

Determine Adamss method of accounting for its investment in Barstow.

c.&d.

Prepare a consolidation worksheet for Adams Corporation and Barstow, Inc., as of December 31, 2015. (For accounts where multiple consolidation entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet.)

I REALLY NEED HELP WITH THIS ONE PLEASE :)