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On January 1, 2019, Aronsen Company acquired 80 percent of Sledel Company's outstanding shares. Sledel had a net book value on that date of $630,000

image text in transcribed On January 1, 2019, Aronsen Company acquired 80 percent of Sledel Company's outstanding shares. Sledel had a net book value on that date of $630,000 : common stock ( $14 par value) of $280,000 and retained earnings of $350,000. Aronsen pald $640,000 for this Investment. The acquisition-date falr value of the 20 percent noncontrolling Interest was $160,000. The excess falr value over book value assoclated with the acquisition was used to increase land by $110,000 and to recognize copyrights (12-year remaining life) at $60,000. Subsequent to the acquisition, Aronsen applied the initial value method to Its Investment account. In the 2019-2020 perlod, the subsidlary's retained earnings Increased by $180,000. During 2021, Sledel earned Income of $88,000 while declaring $28,000 in dividends. Also, at the beginning of 2021, Sledel issued 5,000 new shares of common stock for $55 per share to finance the expansion of its corporate facillties. Aronsen purchased none of these addltional shares and therefore recorded no entry. Prepare the approprlate 2021 consolidation entrles for these two companles. (If no entry is requlred for a transaction/event, select "No journal entry required" In the first account fleld.)

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