Downstream Intercompany Equipment Transactions

On July $1,2015,$ Pearl Industries sold administrative equipment with a book value of $$480,000$ to its subsidiary, Shiek Shoes, for $$560,000.$ At the date of sale, the equipment had a remaining life of five years. It is being straight$-$line depreciated on Shiek's books. It is now December $31,2017,$ the end of the accounting year, and you are preparing the working paper to consolidate the trial balances of Pearl and Shiek. Shiek still owns the equipment.

Required

$($a$)$ Prepare the necessary consolidation eliminating entries at December $31,2017.$

$\backslash$table$[[$Consolidation Journal$],[$Description$,,,$Debit,Credit$],[$Investment in Shiek,$,,360,000,0$