Chapter 4: HOMEWORK PROBLEM: Prince Corporation acquired 100 percent of Sword Corporation on January 1, 2018, for $203,000. Following are selected account balances from Prince and Sword Corporations as of December 31, 2018: : Sword Company Prince Corporation Debit Credit Item Debit : Credit $ Cash Accounts Receivable Inventory Land Bulldings & Equipment Investment In Sword Company. . Cost of Goods Sold Depreciation Expense . Other Expenses Dividends Declared Accumulated Depreciation.. Accounts Payable Mortgages Payable Common Stock Retairied Earnings Sales Income from Sword Company 82,000 50,000 170,000 80,000 500,000 240,000 500,000 25,000 ..:75,000 50,000 $ 25,000 55,000 100,000 20,000 150,000 250,000 15,000 75,000 20,000 $ 155,000 70,000 200,000 300,000 290,000 700,000 57,000 $1,772,000 $ 75,000 35,000 50,000 50,000 100,000 400,000 $1,772,000 $710,00 $710,000 Additional Information: 1. On January 1, 2018 the fair market value of Sword's assets equaled their book value with the exception of: Buildings and Equipment (with an estimated economic life of 11 years) had a fair value that exceeded the book value by $22,000. The fair value of the Inventory exceeded the book value by $1,000, The fair value of the Land exceeded the book value by $10,000.. At December 31, 2018, assume that Goodwill, if any, was determined to not be impaired. 3. Prince used the equity-method in accounting for its investment in Sword. 4. Detailed analysis of receivables and payables showed that Sword owed Prince $16,000 on December 31, 2018 Instructions: a. Give all journal entries recorded by Prince with regard to its investment in Sword during 2018. b. Give all consolidating entries needed to prepare a full set of consolidated financial statements for 2018. c. Prepare a three-part worksheet as of December 31, 2018. d. Determine Total Stockholders' Equity at December 31, 2018. e. Determine Buildings and Equipment, Net at December 31, 2018