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How do I solve for the ones in red? On December 31, 20X2, Soda purchased inventory for $30,000 and sold it to Pop for $50,000.

How do I solve for the ones in red?

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On December 31, 20X2, Soda purchased inventory for $30,000 and sold it to Pop for $50,000. Pop resold $29,000 of the inventory (i.e., $29,000 of the $50,000 acquired from Soda) during 20X3 and had the remaining balance in inventory at December 31, 20X3. During 20X3, Soda sold inventory purchased for $54,000 to Pop for $90,000, and Pop resold all but $26,000 of its purchase. On March 10, 20X3, Pop sold inventory purchased for $16,000 to Soda for $32,000. Soda sold all but $8,000 of the inventory prior to December 31, 20X3. Assume Pop uses the fully adjusted equity method, that both companies use straight-line depreciation, and that no property, plant, and equipment has been purchased since the acquisition. Required: a. Prepare all consolidation entries needed to prepare a full set of consolidated financial statements at December 31, 20X3, for Pop and Soda. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) x Answer is complete but not entirely correct. No Entry Accounts Debit Credit A 1 Common stock 70,000 Retained earnings 62,000 Income from Soda Company 18,540 NCI in NI of Soda Company 9,660 Dividends declared 17,000 Investment in Soda Company 100,440 X NCI in NA of Soda Company 44,760 X B 2 Amortization expense 9,400 Depreciation expense 2,200 Income from Soda Company 8,120 NCI in NI of Soda Company V 3,480 C 3 Buildings and equipment V 22,000

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