Consolidation entries at date of acquisition (purchase price greater than book value) A parent company exchanges 20,000 shares of its $2 par value common stock, with a fair value of $10/share, for all of the shares owned by the subsidiary's shareholders. On the acquisition date, the subsidiary reported $40,000 of contributed capital (i.e., common stock) and $100,000 of Retained Earnings. An examination of the subsidiary's balance sheet revealed that book values were equal to fair values for all assets except for PPE (net), which has a book value of $70,000 and a fair value of $130,000. a. Prepare the entry that the parent makes to record the investment. General Journal Description Debit Credit Comman stock b. Prepare the [E] and [A] consolidation entries. Consolidation Worksheet Description Debit Credit [E] Common stock (A) Please answer all parts of the