Chapter 3-In-Class Problem On January 1, 2010, Giant, Inc. purchased all of the outstanding common shares of Tiny Co. for $3,600,000 cash. In addition, Giant incurred $100,000 costs that related directly to the combination. On January 1, 2010, Tiny's equity accounts had the following balances: Common Stock 500,000 Additional Paid-in Capital....$1,800,000 All of Tiny's assets were fairly stated except for equipment having a book value of $180,000 and a fair value of $270,000, and a building having a book value of $600,000 and a fair value of $800,000. The equipment is estimated to have a remaining useful life of five years, and the building has a ten-year remaining useful life. Tiny also had a copyright with a fair value of $310,000 and an expected useful life of 5 years on January 1, 2010. During 2010, Tiny reported net income of $1,325,000, and paid dividends of $850,000. During 2011, tiny reported net income of $900,000 and paid dividends of 1,100,000. A. Prepare an Allocation of Subsidiary Fair Value and an Amortization Schedule. B. Assume that Giant uses the equity method to account for its investment in Tiny Prepare all entries to be made on the books of Giant for 2010 regarding its investment in Tiny. C. Prepare the consolidation worksheet entries for the year ended December 31, 2010 assuming Giant uses the equity method of accounting. D. Repeat parts B & C above for 2011