On December 31, 2015, Aron Company purchases 80% of the common stock of Shield Company for $320,000 cash. On this date, any excess of cost over book value is attributed to accounts with fair values that differ from book values. These accounts of Shield Company have the following fair values:

Cash - $40,000

A/R - 30,000

Inventory - 140,000

Land - 45,000

Buildings & equipment - 225,000

Copyrights - 25,000

Current liabilities - 65,000

Bonds payable - 105,000

The following comparative balance sheets are prepared for the two companies immediately after the purchase:

Aron Shield

cash $315,000 40,000

a/r 70,000 30,000

Inventory 130,000 120,000

Investment in Shield 320,000

Land 50,000 35,000

Buildings and equipment 350,000 230,000

Acc.Depr. (100,000) (50,000)

Copyrights 40,000 10,000

total assets 1,175,000 415,000

Current liabilities $192,000 65,000

Bonds payable 100,000

Common stock ($10 par) Aron 100,000

Common stock ($5 par) Shield 50,000

Paid in capital in excess of par 250,000 70,000

Retained Earnings 633,000 130,000

Total liabilites and equity 1,175,000 415,000

Prepare the Value Analysis Schedule and the Determination and Distribution of Excess Schedule for the investment in Shield Company.

Prepare the elimination entries that would be made on a consolidated worksheet prepared on the date of acquisition.