Consolidation at date of acquisition (purchase price greater than book value, acquisition journal entries) Assume that the parent company acquires its subsidiary by exchanging 84,000 shares of its $2 par value Common Stock, with a fair value on the acquisition date of $38 per share, for all of the outstanding voting shares of the investee. In its analysis of the investee company, the parent values all of the subsid- iary's assets and liabilities at an amount equaling their book values except for an unrecorded Trademark with a fair value of $240.000, an unrecorded Video Library valued at $600,000, and Patented Technol ogy with a fair value of $125,000. 3 48. a. Prepare the jourmnal entry that the parent makes to record the acquisition b. Given the following acquisition-date balance sheets of the parent and the subsidiary, prepare the consolidation entries. Balance Sheet Parent Subsidiary Assets Cash. 514,020 265,160 450,300 650,000 633,360 Inventory Equity investment. Property, plant and equipment (PPE), net 813,540 10,.600,0001.505,140 $15,406,320 $3,217,200 $150,480 177,800 176,640 309,400 .. . 10, Liabilities and stockholders' equity Accounts payable Long-term liabilities. APIC . . Retained earnings . 3,840,000 428,400 910,000 182,000 3.276,000 227,500 $15,406,320 $3,217.200 Prepare the consolidation spreadsheet. c