Computation of Goodwill (if any) Fair Value of Consideration transferred (10,000 x $14) Book value of S Co. Excess fair value over book Allocated to Land Allocated to equipment Allocated to secret formula Goodwill Analysis of Subsidiary earnings Bradford Company net income Additional equipment depreciation ($5,000/5years) Additional formula depreciation ($20,000/20 years) Equity in subsidiary earnings on parent books Problem 35 Journal Entries Consolidation Entry S: Common Stock Paid in Capital Retained Earnings (Beginning) Investment in Bradford Company Eliminate subsidiary equity (beginning retained earnings) Consolidation Entry A: Building Land Formula Investment in Bradford Company Allocate subsidiary acquisition date fair value adjustments. The financial statement given is for 2024. Therefore four years depreciation and amortization (2020 thru 2023) have already been taken. That leaves a fair value excess of $1,000 for equipment and $16,000 for formula. As land is not depreciated it gets the full $10,00