On January 1, 2021, Penguin Corp. bought 80% of the stock of Sea Gull Corp. for $700,000. The Balance Sheets of the two companies immediately after acquisition (January 1, 2021) of Sea Gull Corp. showed the following: Penguin Sea Gull Cash $ 130,000 $100,000 Accounts Receivable 120,000 30,000 Inventory 400,000 10,000 Land 500,000 100,000 Buildings & Equipment - Net 1,000,000 420,000 Trademarks 0 40,000 Investment in Sea Gull 700,000 0 Total Assets 2,850,000 700,000 Accounts Payable $ 420,000 80,000 Long-Term Liabilities 1,080,000 20,000 Common Stock 1,000,000 400,000 Additional Paid in Capital 0 50,000 Retained Earnings 350.000 150,000 Total Liabilities and Stockholders' Equity $2,850,000 700,000 On the date of acquisition, the Book Value of Sea Gull equaled its Fair Market Value (FMV), except for land that had a FMV of $140,000 and the trademarks that had a FMV of $60,000. On the date of acquisition the FMV of previously unrecorded identifiable intangibles (2-year life) of Sea Gull was $40,000, and the NonControlling Interest (NCI)'s fair value is $175,000. Penguin uses the equity method to record its investment in Sea Gull. Penguin found that a $10,000 impairment of goodwill took place during 2021. At the end of 2021, Penguin owed Sea Gull $25,000, and Sea Gull owed Penguin $45,000. Here the trial balance data for Penguin and Sea Gull on December 31, 2021: Penguin Sea Gull Debits: Cash $ 290,000 $ 100,000 Accounts Receivable 210,000 190,000 Inventory 400,000 50,000 Land 300,000 100,000 Buildings & Equipment-Net 1,100,000 330,000 Trademarks 0 40,000 Investment in Sea Gull 756,000 0 Cost of Goods Sold 550,000 220,000 Depreciation Expense 130,000 45,000 Other Expenses 20,000 35,000 Dividends Declared 100,000 50,000 $3,856,000 $1,160,000 Credits: Accounts Payable $ 300,000 $ 90,000 Long-Term Liabilities 1,200,000 20,000 Common Stock 1,000,000 400,000 Additional Paid in Capital 50,000 Retained Earnings, Jan. 1 350,000 150,000 Sales 910,000 450,000 Income from Subsidiary 96,000 0 $3,856,000 $1,160,000 Required: A. Prepare the journal entries Penguin made during 2021 related to its investment in Sea Gull. B. Prepare the consolidation/eliminating entries needed to consolidate the two companies at the end of 2021. C. Prepare the consolidation working paper. Put required CEs/EEs in their proper columns. Use a coding system