Chapman Company obtains 100 percent of Abernethy Companys stock on January 1, 2012. As of that date, Abernethy has the following trial balance:

	Debit			Credit
Accounts payable				$	52,800
Accounts receivable	$	49,500
Additional paid-in capital					50,000
Buildings (net) (4-year life)		174,000
Cash and short-term investments		84,000
Common stock					250,000
Equipment (net) (5-year life)		315,000
Inventory		137,500
Land		90,500
Long-term liabilities (mature 12/31/15)					188,500
Retained earnings, 1/1/12					323,600
Supplies		14,400
Totals	$	864,900		$	864,900

During 2012, Abernethy reported income of $129,000 while paying dividends of $16,000. During 2013, Abernethy reported income of $176,000 while paying dividends of $38,000.

Assume that Chapman Company acquired Abernethys common stock for $731,110 in cash. Assume that the equipment and long-term liabilities had fair values of $338,650 and $156,340, respectively, on the acquisition date. Chapman uses the initial value method to account for its investment.

Prepare consolidation worksheet entries for December 31, 2012, and December 31, 2013.