On January 1, 2019, Cayce Corporation acquired 100 percent of Simbel Company for consideration transferred with a fair value of $144,900. Cayce is a US-based company headquartered in Buffalo, New York, and Simbel is in Cairo, Egypt. Cayce accounts for its investment in Simbel under the initial value method. Any excess of fair value of consideration transferred over book value is attributable to undervalued land on Simbel's books. Simbel had no retained earnings at the date of acquisition. The following are the 2020 financial statements for the two operations. Information for Cayce and for Simbel is in U.S. dollars ($) and Egyptian pounds (E), respectively. Sales Cost of goods sold Cayce Corporation $ 235,200 (111,400) Simbel Company EE 901,300 (472,900) Salary expense Rent expense Other expenses Dividend income-from Simbel Gain on sale of building, 10/1/20 Net income Retained earnings, 1/1/20 Net income Dividends Retained earnings, 12/31/20 Cash and receivables Inventory Prepaid expenses Investment in Simbel (initial value) Property, plant, and equipment (net) Total assets Accounts payable Notes payable-due in 2023 Common stock Additional paid-in capital Retained earnings, 12/31/20 Total liabilities and equities (23,400) (9,200) (27,600) 19,800 $ 83,400 $ 340,000 83,400 (46,000) $ 377,400 $ 113,000 100,200 30,000 144,900 468,400 $ 856,500 $ 69,600 169,100 142,000 98,400 377,400 $ 856,500 (82,800) (50,400) (65,600) 52,000 E 281,600 EE 150,600 281,600 (72,000) E 360,200 EE 170,200 345,400 477,000 E 992,600 E 60,600 146,600 262,000 163,200 360,200 E 992,600