I need help with these homework questions. I am having trouble with 3 especially.

ACCTG 473 Homework Problems for Lesson 6 6-1. Use of separate accumulated depreciation account: Assume that on 1/1/16 Big bought 100% of Little for $400,000. Little's book value was $300,000 on that date. Little had Property, Plant, and Equipment (5-year life) which was undervalued by $80,000. On 1/1/16 this PPE had a cost of $300,000 and accumulated depreciation of $90,000, for a book value of $210,000. Required: Prepare appropriate elimination entries and complete the consolidation worksheets provided for 2016 and 2017. 2016 Sales Cost of goods sold Depreciation expense Operating expenses Investment income Consolidated income Beginning R/E Add: Income Less: Dividends Ending Retained earnings Current assets Investment in Little PPE Less: Accum. Depreciation Land Other Assets Goodwill Liabilities Common Stock Retained earnings 2017 Sales Cost of goods sold Big 500,000 325,000 40,000 110,000 94,000 119,000 300,000 119,000 50,000 369,000 150,000 464,000 400,000 (100,000) 200,000 5,000 Little 400,000 200,000 30,000 60,000 250,000 500,000 369,000 200,000 150,000 230,000 Big 600,000 400,000 Eliminations dr cr Consolidated Eliminations dr cr Consolidated 110,000 150,000 110,000 30,000 230,000 120,000 300,000 (120,000) 150,000 130,000 Little 350,000 180,000 ACCTG 473 Depreciation expense Operating expenses Investment income Consolidated income Beginning R/E Add: Income Less: Dividends Ending Retained earnings Cash Investment in Little PPE Less: Accum. Depreciation Land Other Assets Goodwill Accounts payable Common Stock Retained earnings 60,000 130,000 47,000 57,000 369,000 57,000 50,000 376,000 150,000 481,000 340,000 (160,000) 200,000 255,000 30,000 60,000 390,000 500,000 376,000 280,000 150,000 280,000 80,000 230,000 80,000 30,000 280,000 140,000 140,000 (150,000) 150,000 430,000 6-2. Goodwill impairment and sale of \"differential asset\": Assume that on 1/1/16 Big bought 100% of Little's voting stock for $500,000. On that date, Little had a book value of $300,000, with owners' equity accounts of Common Stock equal to $100,000 and retained earnings equal to $200,000. Little had land which was undervalued by $50,000. Any remaining differential is attributed to goodwill. During 2016 Little reported earnings of $100,000, and paid dividends of $70,000. At the end of the year Big determined that the goodwill from the Little purchase had been impaired, and the correct value was $110,000. During 2017 Little reported earnings of $120,000 and paid dividends of $100,000. There was no additional goodwill impairment. The land which was previously undervalued was sold (the amount it was sold for is irrelevant to the requirements of this problem). Required: Prepare appropriate equity method and elimination entries for each year. (no worksheet) ACCTG 473 6-3: Before commencing, please note that this business combination contains a \"bargain purchase\". The \"Investment in Little\" account will be recorded at the fair value of the net assets acquired. When the \"Non-controlling interest\" account is created it, too, will be created at the proportionate share of the fair value of the net assets of Little Co. On 1/1/01 Big acquired 70% of Little Co.'s voting stock for $280,000. The remaining 30% of Little's voting stock had a market value of $120,000. Little had a book value of $420,000 on that date, with all assets and liabilities having a book value equal to fair value. Little's owners' equity section was comprised of $100,000 of common stock and $320,000 of retained earnings. Little's stock was undervalued relative to the fair value of their net assets due to a general panic in the stock market. Required for 6-3: 1. Record the purchase of Big's investment in Little 2. Prepare the elimination entry to create a consolidation at date of acquisition. Mid-year acquisition: 6-4: Assume that on 4/1/15 Big acquires 70% of Little Company's outstanding common stock for $280,000. The fair value of the non-controlling interest on that date was $120,000. On that date, Little has the following trial balance: Assets Liabilities Common Stock Retained earnings Revenues Expenses Dividends 400,000 250,000 40,000 60,000 300,000 240,000 10,000 All of Little's assets and liabilities had fair values equal to book value, so any differential is attributed to goodwill. At the end of 2015, Little reports annual earnings of $80,000, with total dividends paid of $25,000. Required: ACCTG 473 Prepare all necessary elimination entries for 2015. 6-5: Use of cost method Assume that on 1/1/16 Big bought 90% of Little for $360,000. The fair value of the non-controlling interest was $40,000 on that date. Little's book value was $300,000 on that date. Little had Property, Plant, and Equipment (5-year life) which was undervalued by $80,000. During 2016 Little reported earnings of $60,000, and paid dividends of $10,000. During 2017 Little reported earnings of $70,000 and paid dividends of $20,000. Required: Prepare cost method entries (to account for the investment) and elimination entries for both years assuming Big uses the cost method to account for their investment in Little. 6-6: Use of cost method Assume that on 1/1/01 Big acquires 80% of Little for $400,000. The fair value of the non-controlling interest on that date was $100,000. Little's book value was $420,000, comprised of common stock of $50,000 and retained earnings of $370,000. All of Little's assets and liabilities had fair values equal to book value, except for equipment (10 year remaining life) which was undervalued by $50,000. Any remaining differential is attributed to goodwill. On 1/1/01 Little's Equipment had a cost of $300,000 and accumulated depreciation of $100,000. During 2001 and 2002 Little had the following: Reported earnings Dividends declared and paid 2001 60,000 20,000 2002 80,000 30,000 Big uses the cost method to account for their investment in Little. Required: Prepare all elimination entries related to the consolidation for 2001 and 2002