Chapman Company obtains 100 percent of Abernethy Company's stock on January 1, 2023. As of that date, Abernethy has the following trial balance:

During 2023, Abernethy reported net income of $80,000 while declaring and paying dividends of $10,000. During 2024, Abernethy reported net income of $110,000 while declaring and paying dividends of $30,000. Assume that Chapman Company acquired Abernethy's common stock by paying $520,000 in cash. All of Abernethy's accounts are estimated to have a fair value approximately equal to present book values. Chapman uses the partial equity method to account for its investment.

Required: Prepare the consolidation worksheet entries for December 31, 2023, and December 31, 2024.

Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field.

Chapman Company obtains 100 percent of Abernethy Company's stock on January 1, 2023. As of that date, Abernethy has the following trial balance: During 2023, Abernethy reported net income of $80,000 while deciaring and paying dividends of $10,000. During 2024, Abernethy reported net income of $110,000 while declaring and paying dividends of $30,000. Assume that Chapman Company acquired Abernethy's common stock by paying $520,000 in cash. All of Abernethy's accounts are estimated to have a fair value approximately equal to present book values. Chapman uses the partial equity method to account for its investment. Required: Prepare the consolidation worksheet entries for December 31, 2023, and December 31, 2024. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. 1 Prepare entry S to eliminate stockholders' equity accounts of subsidiary. 2 Prepare entry A to recognize allocations attributed to specific accounts at acquisition date. 3 Prepare entry I to eliminate the subsidiary income accrual recognized by the parent. 4 Prepare entry D to eliminate intra-entity dividend transfers. 5 Prepare entry E to recognize 2023 amortization expense. 6 Prepare entry C to convert parent company figures to equity method. 7 Prepare entry S to eliminate stockholders' equity accounts of subsidiary for 2024. 8 Prepare entry A to recognize allocations attributed to specific accounts at acquisition date. 9 Prepare entry I to eliminate the subsidiary income accrual recognized by the parent. 10 Prepare entry D to eliminate Intra-entity dividend transfers. 11 Prepare entry E to recognize 2024 amortization expense