On January 1, 2020. Panther, Inc., issued securities with a total fair value of $564.000 for 100 percent of Stark Corporation's outstanding ownership st ares. Stark has long supplied inventory to Panther. The companies expect to achieve synergies with production scheduling and product development with this combination. Although Stark's book value at the acquisition date was $312,000, the fair value of its trademarks was assessed to be $53.000 more than their carrying amounts. Additionally, Stark's patented technology was undervalued in its accounting records by $199.000. The trademarks were considered to have indefinite lives, and the estimated remaining life of the patented technology was eight years. In 2020. Stark sold Panther inventory costing $77.500 for $155.000. As of December 31, 2020. Panther had resold 66 percent of this inventory. In 2021, Panther bought from Stark $154.000 of inventory that had an original cost of $77.000. At the end of 2021, Panther held $41700 (transfer price) of inventory acquired from Stark, all from its 2021 purchases. During 2021. Panther sold Stark a parcel of land for $96.800 and recorded a gain of $17.400 on the sale. Stark still owes Panther $67.600 (current liability) related to the land sale. At the end of 2021, Panther and Stark prepared the following statements for consolidation. Stark Corporation $ (368,690) 193, 109 82,700 3 Revenues Cost of goods sold Other operating expenses Gain on sale of land Equity in Stark's earnings Net income Retained earnings, 1/1/21 Net income Dividends declared Retained earnings, 12/31/21 Cash and receivables Inventory Investment in Stark Trademarks Land, buildings, and equip. (net) Patented technology Total assets Liabilities Common stock Additional paid-in capital Retained earnings, 12/31/21 Total liabilities and equity Panther, Inc. $ (774,180) 332,700 182,100 (17,400) (55,425) $ (332,125) $ (371, eee) (332,125) 99,700 $ (612,425) $ 117,800 356,600 718, 80e $ (92,200) $ (299, 300) (92,200) 29,500 $ (362,890) $ 169, eae 120, 500 731,900 $ 1,923,500 $ (680,375) (480,000) (310,700) (612, 425) $ (1,923,500) 63,400 386,100 136,700 $ 795,700 $ (241,700) (130,00) (62, eae) (362,000) $ (795,700) .. Show how Panther computed its $55.425 equity in Stark's earnings balance. b. Prepare a 2021 consolidated worksheet for Panther and Stark. Answer is not complete. Complete this question by entering your answers in the tabs below. Required A Required B Show how Panther computed its $55,425 equity in Stark's earnings balance. (Input all amounts as positive values.) Stari rented net income 02 20 Total liabilities and equity $ (1,923,500) $ (795,700) a. Show how Panther computed its $55.425 equity in Stark's earnings balance. b. Prepare a 2021 consolidated worksheet for Panther and Stark. Answer is not complete. Complete this question by entering your answers in the tabs below. Required A Required B Show how Panther computed its $55,425 equity in Stark's earnings balance. (Input all amounts as positive values.) IS 92,200 SIS Stark reported net income Patented technology amortization Beginning inventory gross profit Ending inventory gross profit Gain on sale of land 24,875 20,850 x 20.850 17.400 00 Equity in Stark's earnings $ (55.425) Answer is not complete. Complete this question by entering your answers in the tabs below. Required A Required B Prepare a 2021 consolidated worksheet for Panther and Stark. (For accounts where multiple consolidation entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet. Input all amounts as positive values.) Show less PANTHER AND STARK Consolidation Worksheet For the Year Ending December 31, 2021 Consolidation Entries Accounts Panther Stark Debit Credit Consolidated Totals 180.350 $(368.000) 193.100 82,700 0 $ 154,000 20.850 24,875 17.400 55,425 (988.100) 388,300 289,675 0 S IS $ (774.100) 332,700 182,100 (17.400) (55.425) S (332.125) $ (371,000) (332.125) 90.700 $ (612.425) IS 117.000 356,600 718,000 0 731,900 299,300 92,200 X 29,500 > Revenues Cost of goods sold Other operating expenses Gain on sale of land Equity in Stark's earnings Net income Retained earnings 1/1/21 Net income Dividends declared Retained earnings 12/31/21 Cash and receivables Inventory Investment in Stark Trademarks Land, buildings, and equipment (net) Patented technology Total assets Liabilities Common stock Additional paid-in capital Retained earnings 12/31/21 332,125 371.000 332.125 90,700 612.425 218,400 456,250 IS IS 67,600 20.850 747.500 00 $ (92.200) $ (299.300) (92,200) 29,500 S (362.000) $ 160,000 120.500 0 63,400 306,100 136,700 S 795,700 S (241.700) (130,000) (62.000) (362.000) $(795,700) 29.500 X 53,000 X 174,125 17.400 24,875 0 $ 1,923.500 $ (800,375) (400.000) (310.700) (612.425) IS (1.923,500) 67,600 130.000 62,000 362,000 X S 1.542.275 116,400 1.020,600 285,950 S 2,097.600 IS (774.475) (400.000) (310.700) (612.425) $ (2.097.600) Total liabilities and equity 1,088,075