Adams, Inc, acquires Clay Corporation on January 1, 2020. in exchange for $550,400 cash. Immediately after the acquisition, the two companies have the following account balances Clay's equipment (with a five-year remaining life) is actually worth $537.600 Credit balances are indicated by parentheses Current assets Investeent in Clay Equipment Liabilitles Connon stock Retained earnings, 1/1/20 Adams $ 450,000 550,400 713,600 (261,000) (850, eee) (1,133,000) Clay $ 236,000 e 462,000 (232,000) (150,000) (316,000) In 2020, Clay earns a net income of $50,400 and declares and pays a $5,000 cash dividend. In 2020, Adams reports net income from its own operations (exclusive of any income from Clay) of $201.000 and declares no dividends. At the end of 2021, selected account balances for the two companies are as follows: $ Adams (58B, ) 368,300 Not given Not given Revenues Expenses Tovesteent income Retained earnings 1/1/21 Dividends declared Cenon stock Current assets Investment in Clay Equipment Liabilities Clay $ (360,000) 270.000 e (361,400) 8,000 (150,000) 304, Leo e 515,100 (175,300) (350,000) 784,000 Not given 602,100 (196,800 a. What are the December 31, 2021 Investment Income and Investment in Clay account balances assuming Adams uses the Equity method Initial value method b. What is the amount of Consolidated Expenses in its December 31, 2021, consolidated income statement under each of the following methods? c. What is the amount of Consolidated Equipment in its December 31, 2021, consolidated balance sheet under each of the following methods d. What's Adams January 1, 2021: Retained Earnings account balance assuming Adams accounts for its investment in Clay using the Elly Value method va method Dividends declared Common stock Current assets Investment in Clay Equipment Llabilities 8,000 (150,00 304.18 (350,000) 784, eee Not given 682,100 (196,880 515, 100 (175,300) What are the December 31, 2021, Investment Income and Investment in Clay account balances assuming Adams uses the Equity method Initial value method. methods? b. What is the amount of Consolidated Expenses in its December 31, 2021, consolidated income statement under each of the following c. What is the amount of Consolidated Equipment in its December 31, 2021, consolidated balance sheet under each of the following d. What is Adams's January 1, 2021, Retained Earnings account balance assuming Adams accounts for its investment in Clay using the Equity value method methods? Initial value method e. What worksheet adjustment to Adams's January 1, 2021. Retained Earnings account balance is required if Adams accounts for its 1. Prepare the worksheet entry to eliminate Clay's stockholders' equity. 9. What is consolidated net income for 2021? Complete this question by entering your answers in the tabs below. Red B to D Reg E and Reg What are the December 31, 2021. Investnent Income and Investment in Clay account balances assuming Adams uses the Inveral rcome Investment in Clay Ety meva Total value method Reqton Initial value method e. What worksheet adjustment to Adams's January 1, 2021, Retained Earnings account balance is required if Adams accounts for its investment in Clay using the initial value method? f. Prepare the worksheet entry to eliminate Clay's stockholders' equity g. What is consolidated net income for 2021? Complete this question by entering your answers in the tabs below. Red A Req B to D Reg E and F Reg G b. What is the amount of Consolidated Expenses in its December 31, 2021, consolidated Income statement under each of the following methods? c. What is the amount of Consolidated Equipment in its December 31, 2021, consolio balance sheet under each of the following methods? d. What is Adams's January 1, 2021, Retained Earnings account balance assuming Adams accounts for its investment in Clay using the: Equity value method. Initial value method Show less b. Consolidated Expense c. Consolidated Equipment d. Retained Earnings Equity method Initial value method Partial equity method Complete this question by entering your answers in the tabs below. Reg A Reg B to D Reg E and F Reg G e what worksheet adjustment to Adams's January 1, 2021, Retained Earnings account balance is required if Adams accounts for its Investment in Clay using the initial value method? F. Prepare the worksheet entry to eliminate Clay's stockholders' equity. (If no entry is required for a transaction/event, select "No fournal entry required in the first account field.) Show less View transaction list X 1 Record the adjustment to retained earnings if Adams accounts for its investment in Clay under the initial value method. 3. Prepare entry S to eliminate stockholders' equity accounts of subsidiary Credit Note Journal entry has been entered Record entry Clear View consolidationes Liabilities 196,880) (175,309) a. What are the December 31, 2021, Investment Income and Investment in Clay account balances assuming Adams uses the Equity method Initial value method. b. What is the amount of Consolidated Expenses in its December 31, 2021, consolidated Income statement under each of the following c. What is the amount of Consolidated Equipment in its December 31, 2021, consolidated balance sheet under each of the following methods? d. What is Adams's January 1, 2021. Retained Earnings account balance assuming Adams accounts for its investment in Clay using the: Equity value method methods? Initial value method e. What worksheet adjustment to Adams's January 1, 2021, Retained Earnings account balance is required if Adams accounts for its investment in Clay using the initial value method? f. Prepare the worksheet entry to eliminate Clay's stockholders' equity 9. What is consolidated net income for 2021? Complete this question by entering your answers in the tabs below. REGA Red B to D Req E and Reg What is consolidated net income for 20217 Complete this question by entering your answers in the tabs below. Reg A Reg B to D Reg E and F Reg G e what worksheet adjustment to Adams's January 1, 2021, Retained Earnings account balance is required if Adams accounts for its Investment in Clay using the initial value method? F. Prepare the worksheet entry to eliminate Clay's stockholders' equity. (If no entry is required for a transaction/event, select "No fournal entry required in the first account field.) Show less View transaction list X 1 Record the adjustment to retained earnings if Adams accounts for its investment in Clay under the initial value method. 3. Prepare entry S to eliminate stockholders' equity accounts of subsidiary Credit Note Journal entry has been entered Record entry Clear View consolidationes Liabilities 196,880) (175,309) a. What are the December 31, 2021, Investment Income and Investment in Clay account balances assuming Adams uses the Equity method Initial value method. b. What is the amount of Consolidated Expenses in its December 31, 2021, consolidated Income statement under each of the following c. What is the amount of Consolidated Equipment in its December 31, 2021, consolidated balance sheet under each of the following methods? d. What is Adams's January 1, 2021. Retained Earnings account balance assuming Adams accounts for its investment in Clay using the: Equity value method methods? Initial value method e. What worksheet adjustment to Adams's January 1, 2021, Retained Earnings account balance is required if Adams accounts for its investment in Clay using the initial value method? f. Prepare the worksheet entry to eliminate Clay's stockholders' equity 9. What is consolidated net income for 2021? Complete this question by entering your answers in the tabs below. REGA Red B to D Req E and Reg What is consolidated net income for 20217