Exercise 4-7 On January 1, 2014, Pert Company purchased 85% of the outstanding common stock of Sales Company for $361,700. On that date, Sales Company's stockholders' equity consisted of common stock, $93,900; other contributed capital, $37,000; and retained earnings, $148,500. Pert Company paid more than the book value of net assets acquired because the recorded cost of Sales Company's land was significantly less than its fair value. During 2014 Sales Company earned $134,900 and declared and paid a $50,500 dividend. Pert Company used the partial equity method to record its investment in Sales Company. Assume that during 2015 Sales Company earned $202,100 and declared and paid a $50,500 dividend. (b) Your answer is partially correct. Try again. Prepare the workpaper eliminating entries for a workpaper on December 31, 2015. (Credit account titles are autom for the account titles and enter o for the amounts. Round answers to o decimal places, e.g. 5,125.) Account Titles and Explanation Debit Credit Equity Income 171785 Dividends Declared - SI 42925 128860 T Investment in Subsidiai (To record equity income (loss) and dividend income) TCommon Stock - Subsidiar 93900 93900) 37000 2 Other Contributed Capital TRetained Earnings - Subsic 148500 Difference between Implie 146129 Investment in Subsidiai 361700 Noncontrolling Interest 63829 (To eliminate investment in subsidiary and create noncontrolling interest) land T 146129 T 146129 Difference between Im (To eliminate excess of the book value of equity acquired.)