On January 1, 2017, Benjamin Company purchased 100% of the common stock of Gordon Corporation for $1,050,000. The stockholders equity of both companies is as follows:

	Benjamin Co.	Gordon Corp.
Common Stock	300,000	400,000
Retained Earnings	200,000	350,000

On that date, the book value of Gordon Corps assets and liabilities were equal to their fair value except for the following items:

	Book Value	Fair Value
Inventory	70,000	95,000
Land	65,000	95,000
Building	120,000	200,000

The inventory was sold during the year and the building has a 10-year remaining life. Goodwill was determined to have an impairment of $25,000.

The Income and dividend information for both companies for 2017 is listed below.

	Benjamin Co.	Gordon Corp.
Net Income	185,000	115,000
Dividends	80,000	45,000

a). Prepare all equity method entries for 2017.

b). Prepare all eliminating entries for 2017.