I need the formulas for the following problem in the book Assume that a parent company acquired 100 of a subsidiary on 1 1 X1 The purchase price was $175,000 in excess of the subsidiary's book value of net assets on the acquisition date and the excess was assigned entirely to an unrecorded patent The life of the patent is 10 years Assume the subsidiary sells inventory to the parent The parent ultimately sells the inventory to outside customers The following relates to the years X2 and X3 Inventory Sales GP of unsold inventory Receivable (Payable) X3 $103,300 $29,441 $41,320 X2 $87,900 $19,137 $27,986 Requirements Prepare the consolidated financial statements at 12 31 X3 by placing the appropriate entries in their respective debit credit column cells Indicate, in the blank column cell to the left of the debit and credit column cells if the entry is a C , E , A , D or I entry Use Excel formulas to derive the Consolidated column amounts and totals The financial statements for the parent and subsidiary for the year ended 12 31 X3 are attached in the Excel spreadsheet B D E F G H Consolidation Entries 0 m Parent Subsidiary Dr Cr Consolidated 8,220,000 (5,754,000) 1,549,500 (929,700) 0 0 0 2,466,000 189,126 (1,561,800) 1,093,326 619,800 0 (402,870) 216,930 0 0 0 A 1 ACT470 Module 4 Option 1 2 3 4 Income Statement 5 Sales 6 Cost of goods sold 7 8 Gross profit 9 Equity income 10 Operating expenses 11 Net income 12 13 Statement of Retained Earnings 14 BOY retained earnings 15 Net income 16 Dividends 17 EOY retained earnings 18 19 Balance Sheet 20 Assets 21 Cash 22 Accounts receivable 23 Inventory 24 Building, net 25 Patent 26 Equity investment 4,129,728 1,093,326 (251,465) 4,971,589 800,575 216,930 (28,201) 989,304 0 0 0 0 555, 1,052,160 1,594,680 7,670,904 500,842 359,484 461,751 854,291 O O O O O O 1,314,788 0 27 28 29 12,188,442 2,176,368 0 30 Liabilities stockholders' equity 31 Accounts payable 32 Other current liabilities 33 Long term liabilities 34 Common stock 35 APIC 36 Retained earnings 615,678 758,475 3,500,000 1,343,970 998,730 4,971,589 12,188,442 184,948 253,191 516,500 103,300 129,125 989,304 2,176,368 O O O O 0 0 0 37 0 0 0

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I need the formulas for the following problem in the book. Assume that a parent company acquired 100% of a subsidiary on 1/1/X1. The purchase

******I need the formulas for the following problem in the book.******

Assume that a parent company acquired 100% of a subsidiary on 1/1/X1. The purchase price was $175,000 in excess of the subsidiary's book value of net assets on the acquisition date and the excess was assigned entirely to an unrecorded patent. The life of the patent is 10 years. Assume the subsidiary sells inventory to the parent. The parent ultimately sells the inventory to outside customers. The following relates to the years X2 and X3:

	Inventory Sales	GP of unsold inventory	Receivable (Payable)
X3	$103,300	$29,441	$41,320
X2	$87,900	$19,137	$27,986

Requirements:

Prepare the consolidated financial statements at 12/31/X3 by placing the appropriate entries in their respective debit/credit column cells.
Indicate, in the blank column cell to the left of the debit and credit column cells if the entry is a [C], [E], [A], [D] or [I]entry.
Use Excel formulas to derive the Consolidated column amounts and totals.
The financial statements for the parent and subsidiary for the year ended 12/31/X3 are attached in the Excel spreadsheet

B D E F G H Consolidation Entries 0 m Parent Subsidiary Dr Cr Consolidated 8,220,000 (5,754,000) 1,549,500 (929,700) 0 0 0 2,466,000 189,126 (1,561,800) 1,093,326 619,800 0 (402,870) 216,930 0 0 0 A 1 ACT470-Module 4-Option 1 2 3 4 Income Statement: 5 Sales 6 Cost of goods sold 7 8 Gross profit 9 Equity income 10 Operating expenses 11 Net income 12 13 Statement of Retained Earnings: 14 BOY retained earnings 15 Net income 16 Dividends 17 EOY retained earnings 18 19 Balance Sheet: 20 Assets 21 Cash 22 Accounts receivable 23 Inventory 24 Building, net 25 Patent 26 Equity investment 4,129,728 1,093,326 (251,465) 4,971,589 800,575 216,930 (28,201) 989,304 0 0 0 0 555, 1,052,160 1,594,680 7,670,904 500,842 359,484 461,751 854,291 O O O O O O 1,314,788 0 27 28 29 12,188,442 2,176,368 0 30 Liabilities & stockholders' equity 31 Accounts payable 32 Other current liabilities 33 Long-term liabilities 34 Common stock 35 APIC 36 Retained earnings 615,678 758,475 3,500,000 1,343,970 998,730 4,971,589 12,188,442 184,948 253,191 516,500 103,300 129,125 989,304 2,176,368 O O O O 0 0 0 37 0 0 0