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				$	51,500
Accounts receivable	$	46,500
Additional paid-in capital					50,000
Buildings (net) (4-year life)		190,000
Cash and short-term investments		67,750
Common stock					250,000
Equipment (net) (5-year life)		442,500
Inventory		107,000
Land		93,500
Long-term liabilities (mature 12/31/15)					166,500
Retained earnings, 1/1/12					448,250
Supplies		19,000
Totals	$	966,250		$	966,250

During 2012, Abernethy reported income of $99,000 while paying dividends of $12,000. During 2013, Abernethy reported income of $151,250 while paying dividends of $53,000.

Assume that Chapman Company acquired Abernethys common stock for $855,330 in cash. Assume that the equipment and long-term liabilities had fair values of $464,600 and $134,620, 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.