Exercise - Consolidated Statements (24) December 31, 2006, are summarized as follows (in thousands): Parent Corporation acquired 70% of the outstanding voting shares of Subsidiary Company from $45,500 on January 1, 2006, when Subsidiary's stockholders' equity was S65,000. All of the assets and liabilities of Subsidiary were stated at their fair values when Parent acquired its 70% interest. Required: Prepare the consolidation working papers for Parent Corporation and Subsidiary Company for 2006. Prepare a consolidated income statement and a consolidated balance sheet for Parent Corporation and Subsidiary 1. 2. Exercise - Consolidated Statements (24) December 31, 2006, are summarized as follows (in thousands): Parent Corporation acquired 70% of the outstanding voting shares of Subsidiary Company from $45,500 on January 1, 2006, when Subsidiary's stockholders' equity was S65,000. All of the assets and liabilities of Subsidiary were stated at their fair values when Parent acquired its 70% interest. Required: Prepare the consolidation working papers for Parent Corporation and Subsidiary Company for 2006. Prepare a consolidated income statement and a consolidated balance sheet for Parent Corporation and Subsidiary 1. 2