Mercedes Co acquired all of the common stock of Tesla Co. on January 1, 2018 As of that date, Tesla had the following trial balance Book Value Fair Value Current Assets $50,000 $50,000 Land $50,000 $100,000 Buildings (20 years) $200,000 $300,000 Equipment(10 years) $100,000 $80,000 Net Income year ended 12/31/18 $100,000 Dividends year ended 12/31/18 $10,000 Common Stock Tesla ($10 par value) $50,000 Additional Paid-In Capital (5,000 shares outstanding $250,000 Retained Eamings, 1/1/18 $100,000 Assume that Mercedes Co acquired the common stock of Tesla for $600,000 in cash Any excess of consideration transferred over fair value of assets and liabilities acquired is due to goodwill Mercedes us using the equity method for this investment. NOTE: You will get no credit if I can't read your answer (P31) Prepare the S Entry for 12/31/2018 (Write the journal entry, print the name of the account(s) and write the dollar amounts clearly) (Show below all calculations to get full credit) 1 Mercedes Co. acquired all of the common stock of Tesla Co. on January 1, 2018. As of that date, Tesla had the following trial balance: Book Value Fair Value Current Assets 550,000 $50,000 Land 550,000 $100,000 Buildings (20 years) $200,000 $300,000 Equipment(10 years) $100,000 580,000 Net Income year ended 12/31/18 $100,000 $10,000 550,000 Dividends year ended 12/31/18 Common Stock-Tesla (S10 par value) Additional Paid-In Capital (5,000 shares outstanding) Retained Earnings, 11/18 $250,000 $100,000 Assume that Mercedes Co. acquired the common stock of Tesla for $600,000 in cash. Any excess of consideration transferred over fair value of assets and liabilities acquired is due to goodwill. Mercedes is using the equity method for this investment. NOTE: You will get no credit if I can't read your answer.: (P31) Prepare the S Entry for 12/31 2018 (Write the journal entry, print the name of the account(s) and write the dollar amounts clearly) (Show below all calculations to get full credit.) (P3ii) Prepare the I Entry for 12/31/2018 Write the journal entry, print the name of the account(s) and write the dollar amounts clearly) (Show below all calculations to get full credit.) (P3111) Prepare the E Entry for 12/31/2018 (Write the joumal entry, print the name of the account(s) and write the dollar amounts clearly.) (Show below all calculations to get full credit.) Mercedes Co acquired all of the common stock of Tesla Co. on January 1, 2018 As of that date, Tesla had the following trial balance Book Value Fair Value Current Assets $50,000 $50,000 Land $50,000 $100,000 Buildings (20 years) $200,000 $300,000 Equipment(10 years) $100,000 $80,000 Net Income year ended 12/31/18 $100,000 Dividends year ended 12/31/18 $10,000 Common Stock Tesla ($10 par value) $50,000 Additional Paid-In Capital (5,000 shares outstanding $250,000 Retained Eamings, 1/1/18 $100,000 Assume that Mercedes Co acquired the common stock of Tesla for $600,000 in cash Any excess of consideration transferred over fair value of assets and liabilities acquired is due to goodwill Mercedes us using the equity method for this investment. NOTE: You will get no credit if I can't read your answer (P31) Prepare the S Entry for 12/31/2018 (Write the journal entry, print the name of the account(s) and write the dollar amounts clearly) (Show below all calculations to get full credit) 1 Mercedes Co. acquired all of the common stock of Tesla Co. on January 1, 2018. As of that date, Tesla had the following trial balance: Book Value Fair Value Current Assets 550,000 $50,000 Land 550,000 $100,000 Buildings (20 years) $200,000 $300,000 Equipment(10 years) $100,000 580,000 Net Income year ended 12/31/18 $100,000 $10,000 550,000 Dividends year ended 12/31/18 Common Stock-Tesla (S10 par value) Additional Paid-In Capital (5,000 shares outstanding) Retained Earnings, 11/18 $250,000 $100,000 Assume that Mercedes Co. acquired the common stock of Tesla for $600,000 in cash. Any excess of consideration transferred over fair value of assets and liabilities acquired is due to goodwill. Mercedes is using the equity method for this investment. NOTE: You will get no credit if I can't read your answer.: (P31) Prepare the S Entry for 12/31 2018 (Write the journal entry, print the name of the account(s) and write the dollar amounts clearly) (Show below all calculations to get full credit.) (P3ii) Prepare the I Entry for 12/31/2018 Write the journal entry, print the name of the account(s) and write the dollar amounts clearly) (Show below all calculations to get full credit.) (P3111) Prepare the E Entry for 12/31/2018 (Write the joumal entry, print the name of the account(s) and write the dollar amounts clearly.) (Show below all calculations to get full credit.)