Following are separate financial statements of Michael Company and Aaron Company as of December 31, 2021 (credit balances indicated by parentheses). Michael acquired all of Aaron's outstanding voting stock on January 1, 2017, by issuing 20,000 shares of its own \$1 par common stock. On the acquisition date, Michael Company's stock actively traded at \$2700 per share On the date of acquisition, Aaron reported retained earnings of $300,000 and a total book value of $430,000. At that time, its royalty agreements were undervalued by $60,000. This intangible was assumed to have a six-year remaining life with no residual value. Additionally. Aaron owned a trademark with a fair value of $50.000 and a 10-year remaining life that was not reflected on its books. Aaron declared and paid dividends in the same period. a. Using the preceding information, prepare a consolidation worksheet for these two companies as of December 31,2021 b. Assuming that Michael applied the equity miethod to this investment, what would the following account balances be on the parent's individual financial statements? \begin{tabular}{|c|c|c|c|c|c|c|c|} \hline \multicolumn{8}{|c|}{ MICHAEL COMPANY AND CONSOLIDATED SUBSIDIARY } \\ \hline \multicolumn{8}{|c|}{ Consolidation Worksheet } \\ \hline \multicolumn{8}{|c|}{ For Year Ending Docember 31, 2021} \\ \hline \multirow[b]{2}{*}{ Accounts } & \multirow{2}{*}{\multicolumn{2}{|c|}{ Michael }} & \multirow{2}{*}{\multicolumn{2}{|c|}{ Aaron }} & \multicolumn{2}{|c|}{ Consolidation Entries } & \multirow{2}{*}{\begin{tabular}{c} Consolidated \\ Totals \end{tabular}} \\ \hline & & & & & Dobit & Credit & \\ \hline Revenues & $ & (629,500) & 5 & (454,500) & & & \\ \hline Cost of goods sold & & 279,750 & & 182,250 & & & \\ \hline Amortization expense & & 138,600 & & 109,000 & & & \\ \hline Dividend income & & (5,000) & & 0 & & & \\ \hline Net income & $ & (216,150) & $ & (163,250) & & & \\ \hline Retained earning, 1/1/21 (Michael) & & (1,056,000) & & 0 & & & \\ \hline Retained earning. 1/1/21 (Aaron) & & 0 & & (597,000) & & & \\ \hline Net income (above) & & (216,150) & & (163,250) & & & \\ \hline Dividends declared & & 90,000 & & 5,000 & & & \\ \hline Retained earnings, 12/31/21 & $ & (1,182,150) & $ & (755,250) & & & \\ \hline Cash & $ & 175,000 & $ & 20.200 & & & \\ \hline Receivables & & 385,000 & & 299,000 & & & \\ \hline Inventory & & 623,000 & & 289,000 & & & \\ \hline Investment in Aaron Co0 & & 540,000 & & 0 & & & \\ \hline Copyrights & & 539,000 & & 418,000 & & & \\ \hline Royalty agreements & & 927,000 & & 444,000 & & & \\ \hline Trademark & & 0 & & 0 & & & \\ \hline Total assets & $ & 3,189,000 & $ & 1,470,200 & & & \\ \hline Liabilities & $ & (906,850) & $ & (584,950) & & & \\ \hline Preferred stock & & (300,000) & & 0 & & & \\ \hline Common stock & & (500,000) & & (100,000) & & & \\ \hline Additional paid-in capital & & (300,000) & & (30.000)} & & & \\ \hline Retained earnings, 12/31/21 (above) & & (1,182,150) & & (755,250) & & & \\ \hline Total liabilities and equity & $ & (3,189,000) & $ & (1.470.200) & $ & $ & \\ \hline \end{tabular} Assuming that Michael applied the equity method to this investment, what would the following account balances be on the parent's individual financial statements