O Rand Corp. acquired 100% of Spaulding Inc. on December 31, 2012. Spaulding was dissolved right afterwards. Please prepare the journal entry for consolidation under two situations. Rand Spaulding Corp loc. Revenues S 372.000 SI08.000 Expenses (2644.000) (72.000) Equity in subsidiary earnings 25.000 Net income $ 133.000 $36.000 Retained earnings, January 1, 2012 $ 765,000 $102,000 Net income (above) 133.000 36,000 Dividends paid (8-4.000) (24.000 Retained earnings, December 31, 2012 S..814.000 $144,000 Current assets $ 150,000 $ 22,000 Investment in Spaulding Inc. 242,000 Buildings (net) 525.000 85.000 Equipment (net) 389,250 129.000 Total assets S1.306,250 $236.000 Liabilities $ 82,250 s 50,000 Common stock 360,000 72.000 Additional paid-in capital 50,000 O Retained earnings, December 31, 2012 (above) 814.000 114.000 Total liabilities and stockholders' equity S1.306,250 $236.000 O Situation 1: Rand pays $200,000 cash to acquire all of the Spaulding's assets and liabilities. The fair value of Spaalding's Equipment is $4,000 higher than its book value. For the rest assets and liabilities, there is no difference between book value and fair value. Situation 2: Rand pays $180.000 cash to acquire all of the Spaulding's assets and liabilities. The fair value of Spaulding's Equipment is $4,000 higher than its book value. For the rest assets and liabilities, there is no difference between book value and fair value