On January 1, 2020, Parent Corporation purchased an 90% interest in Subsidiary Company for $990,000. A summary of Subsidiarys balance sheet on that date revealed the following:

Book Value Fair Value

Cash/Receivables $ 200,000 $ 200,000

Inventory 50,000 50,000

Equipment 500,000 600,000

Land 180,000 190,000

$930,000 $ 1,040,000

Liabilities $ 30,000

Common stock 500,000

Retained earnings 400,000

$930,000

The equipment had an original life of 10 years and has a remaining useful life of 8 years.

Record the basic eliminating and the adjusting entries needed on the consolidated workpaper.