Additional Information

1.On the date of combination, the fair value of Stanley's depreciable assets was $50,000 more than book value. The accumulated depreciation on these assets was $10,000 on the acquisition date. The differential assigned to depreciable assets should be written off over the following 10-year period.

2.There was $10,000 of intercorporate receivables and payables at the end of 20X5.

Required

a.Give all journal entries that Master recorded during 20X5 related to its investment in Stanley.

b.Give all consolidation entries needed to prepare consolidated statements for 20X5.

c. three-part worksheet as of December 31, 20X5.