E5-5 Balance Sheet Worksheet LO 5-2 Problem Company owns 90 percent of Solution Dairy's stock. The balance sheets of the two companies immediately after the Solution acquisition showed the following amounts: Problem Company Solution Dairy Assets Cash & Receivables Inventory Land Buildings & Equipment (net) Investment in Solution Dairy Total Assets Liabilities & Stockholders' Equity Current Payables Long-Term Liabilities Common Stock Retained Earnings Total Liabilities & Stockholders' Equity $ 145,000 220,000 71,000 409,000 271,800 $1,116,800 $ 77,000 97,000 47,000 236,000 $457,000 $ 73,000 281,800 386,000 376,000 $1,116,800 $ 27,000 158,000 69,000 203,000 $457,000 The fair value of the noncontrolling interest at the date of acquisition was determined to be $30,200. The full amount of the increase over book value is assigned to land held by Solution. At the date of acquisition, Solution owed Problem $8,000 plus $1,300 accrued interest. Solution had recorded the accrued interest, but Problem had not. Required: Prepare a consolidated balance sheet worksheet. (Values in the first two columns (the "parent" and "subsidiary" balances) that are to be deducted should be indicated with a minus sign, while all values in the "Consolidation Entries" columns should be entered as positive values. For accounts where multiple adjusting entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet.) X Answer is not complete. PROBLEM COMPANY AND SUBSIDIARY Consolidated Balance Sheet Worksheet Consolidation Entries Solution Problem Co. Dairy DR CR Consolidated $ $ 9,300 $ Assets Cash and receivables Inventory Land Buildings and equipment (net) Investment in Solution Dairy 146,300 220,000 71,000 409,000 271,800 $ 1,118,100 77,000 97,000 47,000 236,000 214,000 317,000 118,000 645,000 0 271,800 281,100 Total Assets $ 457,000 $ 0 $ $ 1,294,000 $ $ | Liabilities & Equity Current payables Long-term liabilities Common stock Retained earnings NCI in NA of Solution Dairy Total Liabilities & Equity 73,000 281,800 386,000 377,300 27,000 158,000 69,000 203,000 100,000 439,800 455,000 580,300 $ 1,118,100 $ 457,000 $ 0 $ 0 $ 1,575, 100