C e. Prepare the consolidated spreadsheet for the year ended December 31, 2016. Use negative signs with answers in the Consolidated column for Cost of goods sold, Operating expenses and Dividends. Consolidation Worksheet Parent Subsidiary Debit Credit Consolidated Income statement Sales $4,802,000 $1,358,300 $ Cost of goods sold (3,457,300) (784,700) Gross profit 1,344,700 573,600 Equity income 179,150 [C] Operating expenses (720,300) (340,200) [D] Net income $803,550 $233,400 $ Statement of retained earnings BOY retained earnings $1,694,700 $676,200 [E] $ Net income 803,550 233,400 Dividends (414,000) (78,000) [C] Ending retained earnings $2,084,250 $831,600 $ Balance sheet Assets Cash $719,600 $337,400 $ Accounts receivable 1,229,200 303,800 Inventory 1,624,000 389,900 Equity investment 1,730,550 [C] ] [E] [A] PPE, net 2,923,200 721,000 [A] [D] Patent [A] [D] [ Licenses [A] [ [D] [D Goodwill [A] $8,226,550 $1,752,100 $ Liabilities and equity Accounts payable $702,800 $124,600 $ Accrued liabilities 835,800 163,100 Long-term liabilities 2,100,000 436,100 || (720,300) $803,550 (340,200) [D] $233,400 $ Operating expenses Net income Statement of retained earnings BOY retained earnings Net income Dividends Ending retained earnings Balance sheet Assets Cash Accounts receivable Inventory Equity investment $1,694,700 803,550 (414,000) $2,084,250 $676,200 [E] 233,400 (78,000) $831,600 [C] $ TA $ $719,600 $337,400 1,229,200 303,800 1,624,000 389,900 1,730,550 U [C] [E] [A] [D] [D] [D] PPE, net Patent Licenses Goodwill 2,923,200 721,000 [A] [A] [A] [A] $8,226,550 $1,752,100 e e $ Liabilities and equity Accounts payable Accrued liabilities Long-term liabilities Common stock APIC Retained earnings $702,800 $124,600 835,800 163,100 2,100,000 436,100 527,100 87,500 [E] $ 1,976,600 109,200 [E] $ 2,084,250 831,600 $8,226,550 $1,752,100 $ SA