Chapman Company obtains 100 percent of Abernethy Company's stock on January 1, 2020. As of that date, Abernethy has the following trial balance:

DebitCreditAccounts payable$53,700Accounts receivable$41,000Additional paid-in capital50,000Buildings (net) (4-year remaining life)184,000Cash and short-term investments77,250Common stock250,000Equipment (net) (5-yearremaining life)400,000Inventory117,500Land107,500Long-term liabilities (mature 12/31/23)173,000Retained earnings, 1/1/20417,450Supplies16,900Totals$944,150$944,150

During 2020, Abernethy reported net income of $98,000 while declaring and paying dividends of $12,000. During 2021, Abernethy reported net income of $128,250 while declaring and paying dividendsof $39,000.

Assume that Chapman Company acquired Abernethy's common stock for $825,690 in cash. Assume that the equipment and long-term liabilities had fair values of $422,400 and $139,760, respectively, on the acquisition date. Chapman uses the initial value method to account for its investment.

Prepare consolidation worksheet entries for December 31, 2020, and December 31, 2021.(If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)