Information related to Y3 On December 31, Y3, Aylmer Industries Inc. purchased 85% of the outstanding shares of Belmont Inc. The purchase price is indicated on the excel file. The entry has been recorded on the books of Aylmer. Aylmer uses the cost method to record investments. The Statement of Financial Position (Balance Sheet) for both Aylmer Inc and Belmont Inc are provided in the excel file for the year ended December 31, Y3. On the excel file, please see the various tabs. Note, there are details for the fair value of certain Belmont assets - see the tabs "Belmont - Inventory Details" and "Belmont - Fixed Assets Details". Those tabs will help with your calculations. Required: A 1. For December 31, Y3: a. Use the tab "Consolidation Dec 31, Y3": b. Calculate consolidated goodwill, acquisition differential, and NCI assuming Aylmer uses the fair value enterprise method. c. Prepare any entries needed for the consolidation. d. Prepare a consolidated statement of financial position at the date of acquisition (December 31, Y3). e. Show all your work - using the worksheet approach. B C D G H T J E F Aylmer Industries Inc. Statement of Financial Position At December 31, Y3 ASSETS Current Assets Cash and Cash Equivalents Investment in Belmont Inc Accounts Receivable(net) Inventories, net Prepaid and other current assets Total Current Assets Property and equipment (net) IntageblAssets, net $1,094,322 4555678 4800000 525000 255000 11230000 9865400 140000 Total Assets $2,135,400 LIABILITIES Current Liabilities Accounts Payable and accrued liabilites 830500 Other current liabilites 546000 Current portion of long term debt 1000000 2376500 Long term Debt 3000000 5376500 Total Current Liabilites Total Liabilites SHAREHOLDERS EQUITY Common Stock Retained Earnings Total Shareholder's Equity TOTAL LIABILITIES & SHAREHOLDER'S EQUITY 5850000 1008900 15858900 21235400 Belmont Financials Belmon Statement of Financial Position Requirements Alymer Financials At December 31, Y3 ASSETS Current Assets Cash and Cash Equivalents Accounts Receivable (net) Inventories, net $ 250,000 1,294,651 507,200 Prepaid and other current assets 41,612 Total Current Assets Property and equipment (net) TOTAL ASSETS 2,093,463 3,242,285 $ 5,335,748 LIABILITIES Current Liabilities Accounts payable and accrued liabilities $ 825,000 Other current liabilities Current portion of long term debt Total Current Liabilities Long Term Debt Total Liabilities SHAREHOLDERS EQUITY Common Stock Retained Earnings Total Shareholders' Equity TOTAL LIABITILIES & SHAREHOLDERS' EQUITY Belmont Inc. Details of Accounts Receivable at December 31, Y3 825,000 2,000,000 2,825,000 1,000,000 1,510,748 2,510,748 5,335,748 0.42 Customer Name 1 Box Top Inc 2 Briar Forest Corp 3 Cavhill Industries 4 Colborne Corp 5 Copper Gallery 4210119 Ont Ltd 43rd Street Place 6 Star Services 0 Booktime Services 99,797 99,643 49,049 13,031 13,031 13,031 2,942 1,443 1,499 122,223 61,999 60,113 1,313 1,313 18,540. 3,666 154 9,956 Total Due 0-30 Days 31-60 days 61-90 days 91-120 day Over 120 Note carrying value = fair value 161,181 55,894 50,199 6,625 6,494 131 65,675 31,310 30,699 50,094 4,994 111 18,540 6 Dairy Ashford Corp 6,499 6,499 7 Demilo Inc 8 Dustin Enterprises 9Greenway Place Grosvenor Limited 1 Houston Consultants 2 Jesse Blackstone 3 Joseph Company 4 Lawrence Brothers. 83,336 36,785 39,941 180,511 64,452 64,161 50,344 64,873 31,548 31,661 13,877 6,844 7,033 48,464 22,680 9,846 9,846 101,407 31,599. 36,510 32,649 58,561 18,846. 19,844 6,610 1,554 1,664 1,319 10,699 36,446 1,494. 1,494 Note carrying value = fair value 649 19,460 411 5 Mapleton Express 19.048 18,936. 112 6 OKC Limited 23,376 7 Oxford Distributing 20,535 9,856 9,884 10,651 9,856 3,664 Paper Brands 105,790 12,636 9,664 36,944 46,546 9 Westella Drive LTD 14,410 6,944 6,411 1,055 Woodplank Inc. 1 Yellow Street Ltd 1,065 1,065 1,328. 664 664 Zephyr Limited 1,546 318 318 910 Belmont Inc. Inventory Items on Hand at December 31, Y3 Item # Description Cost Fair Value = 14566SA X205 30 HP Machine 13,500.00 13,000.00 145669A X205 30 HP Machine 13,500.00 13,000.00 O 147502A X205 30 HP Machine 13,500.00 13,000.00 1 147503A X205 30 HP Machine 2 147504A X205 30 HP Machine B 360010X G350 60 HP Machine 13,500.00 13,000.00 13,500.00 13,000.00 35,900.00 32,500.00 32,500.00 4 360011X G350 60 HP Machine 5 360012X G350 60 HP Machine 6 360013X G350 HP Machine 7 598750W L500 100HP Machine 8 598751W L500 100HP Machine 9 598752W L500 100HP Machine 35,900.00 35,900.00 32,500.00 35,900.00 32,500.00 98,700.00 96,000.00 98,700.00 96,000.00 98,700.00 96,000.00 $507,200.00 $483,000.00 1 Belmont Inc. Fixed Asset Details at December 31, Y3 Asset Category Land Building REMAINING Acquisition Useful Number Description Date Life (Yrs) Cost 1 acre 11t 05/31/YO 401 Main S 09/01/Y1 .5 acre 402 09/01/Y1 DepreciatiorAccumulated Expense Depreciation Fair Y3 to 12/31/Y3 NBV Value 100,000 200,000 100,000 325,000 200,000 500,000 20,000 320,000 20,000 150,000 320,000 2018-01 401 Main S 09/01/Y1 2018-09 410 Main S 02/1/Y1 2019-09 406 Main S 08/1/Y1 41,375 96,542 1,558,458 2,000,000 3,750 40 1,655,000 40 150,000 7,188 142,813 40 945,000 23,625 33,469 911,531 2,750,000 68,750 137,198 2,612,802 350,000 800,000 Equipment 2018-02 2013 Ford F02/01/YO 2018-04 Toro lawn r 06/30/YO 2018-05 2007 John [09/01/YO 10 10 10 8,590 2,300 25,000 859 230 2,500 2,577 690 6,013 6,000 1,610 1,700 7,500 2018-08 2018-06 2009 Cat B: 09/01/YO 2018-07 2004 Case 10/01/YO 3 wagons 10/01/YO 10 12,300 1,230 3,690 17,500 8,610 25,000 10,000 10 9,800 980 2,940 6,860 6,000 10 3,000 300 900 2019-10 2018 Chev 03/01/Y1 10 35,600 2019-11 2010 Toyot 05/31/Y1 10 18,750 3,560 1,875 2019-12 2017 Kenw 07/31/Y1 15,000 10 220,500 22,050 44,100 176,400 180,000 7,120 3,750 2,100 28,480 1,500 28,500 10,000 2019-15 2019-13 2019-14 1996 Grade 12/01/Y1 Flat-bed Tra 12/01/Y1 2015 Loade 08/01/Y1 10 18,165 1,817 3,633 14,532 16,000 2020-16 2019 Grade 05/01/Y2 2020-17 1 wagon 07/01/Y2 10 10 10 10 7,200 12,300 720 1,230 1,440 2,460 5,760 5,000 9,840 6,000 16,800 1,000 980 42 980 15,820 22,000 42 958 500 TOTAL 391,305 38,372 81,822 3,461,305 107,122 219,020 309,483 3,242,285