On January 1, 2014, Plate Company purchased a 90% interest in the common stock of Set Company for $660,780, an amount $20,700 in excess of the book value of equity acquired. The excess relates to the understatement of Set Company's land holdings. Excerpts from the consolidated retained earnings section of the consolidated statements workpaper for the year ended December 31, 2014, follow: Set Company Consolidated Balances 1/1/14 retained earnings 198,300 881,700 Net income from above 121,100 387,900 Dividends declared (47,400) (79,600) 12/31/14 retained earnings to the balance sheet 272,000 1,190,000 Set Company's stockholders' equity is composed of common stock and retained earnings only. (a) Your answer is correct Prepare the eliminating entries required for the preparation of a consolidated statements workpaper on December 31, 2014, assuming the use of the cost method. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry"for the account titles and enter for the amounts. Round answers to decimal places, eg. 5,125.) Account Titles and Explanation Debit Credit Dividend Income 42660 Dividends Declared - Subsidiary Company 42660 (To record dividend income) rann (To record dividend income) Common Stock - Subsidiary Company 512900 Retained Earnings - Subsidiary Company 198300 Difference between Implied and Book Value 23000 Investment in Subsidiary 660780 Noncontrolling Interest 73420 (To eliminate investment in subsidiary and create noncontrolling interest) Land 23000 Difference between Implied and Book Value 23000 (To eliminate excess of the book value of equity acquired.) Prepare the eliminating entries required for the preparation of a consolidated statements workpaper on December 31, 2014, assuming the use of the equity method. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry"for the account titles and enter for the amounts. Round answers to 0 decimal places, eg. 5,125.) Account Titles and Explanation Debit Credit Equity Income Investment in Subsidiary Dividends Declared - Subsidiary Company 42660 (To record dividend income) Common Stock - Subsidiary Company Retained Earnings - Subsidiary Company Difference between Implied and Book Value Investment in Subsidiary Noncontrolling Interest (To eliminate investment in subsidiary and create noncontrolling interest) Land Difference between Implied and Book Value (To eliminate excess of the book value of equity acquired.)