I am having trouble figuring out retained earnings for Entry S December 31, 2015. Please help!

Problem 3-20 (LO 3-3a)

Chapman Company obtains 100 percent of Abernethy Companys stock on January 1, 2014. As of that date, Abernethy has the following trial balance:

	Debit		Credit
Accounts payable				$	50,300
Accounts receivable	$	47,500
Additional paid-in capital					50,000
Buildings (net) (4-year life)		201,000
Cash and short-term investments		61,750
Common stock					250,000
Equipment (net) (5-year life)		447,500
Inventory		127,500
Land		124,000
Long-term liabilities (mature 12/31/17)					162,000
Retained earnings, 1/1/14					514,850
Supplies		17,900
Totals	$	1,027,150		$	1,027,150

During 2014, Abernethy reported netincome of $97,000 while declaring andpaying dividends of $12,000. During 2015, Abernethy reported netincome of $141,250 while declaring andpaying dividends of $48,000.

Assume that Chapman Company acquired Abernethys common stock for $933,200 in cash. As of January 1, 2014, Abernethys land had a fair value of $137,700, its buildings were valued at $255,400, and its equipment was appraised at $420,750. Chapman uses the equity method for this investment.

Prepare consolidation worksheet entries for December 31, 2014, and December 31, 2015. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)