Constructing the Consolidated Balance Sheet at Acquisition Winston Company purchased all of Marcus Company's common stock for $600,000 cash on January 1, at which time the separate balance sheets of the two corporations appeared as follows. Winston Marcus Consolidating Company Company Adjustments Consolidated Investment in Marcus $600,000 $- Other assets 2,300,000 700,000 Goodwill 0 Total assets $2,900,000 $700,000 Liabilities $900,000 $160,000 Contributed capital 1,400,000 300,000 Retained earnings 600,000 240,000 Total liabilities and equity $2,900,000 $700,000 During purchase negotiations, Winston determined the appraised value of Marcus's Other Assets was $720,000, and all of its remaining assets and liabilities were appraised at values approximating their book values. The balance of the purchase price was ascribed to goodwill. Prepare the consolidating adjustments and the consolidated balance sheet at acquisition. Marcus Company 07 $ Investment in Marcus Other assets Goodwill Winston Company 600,000 2,300,000 0 2,900,000 $ 900,000 $ 1,400,000 600,000 2,900,000 $ Consolidating Adjustments Consolidated (600,000) $ 0 OX 3,020,000 OX 40,000 $ 3,060,000 0X 40,000 x Total assets S OX 0 $ 160,000 OX OX Liabilities S Contributed capital Retained earnings Total liabilities & equity $ 1,060,000 1,400,000 600,000 3,060,000 OX OX OX $ Check