On January 1, 2022 Roberts Corporation acquired 80% of the outstanding voting stock of Williams Company. At that time, although Williams book value was $560,000, Roberts assessed Williams total business fair value at $726,000. The book values of Williams individual assets and liabilities approximated their acquisition-date fair values except for the equipment account which was undervalued by $100,000. The undervalued equipment had a 5-year remaining life at the acquisition date. Any remaining excess fair value was attributed to goodwill. No goodwill impairments have occurred. Over the next two years, Williams began selling inventory to Roberts. Assume that any items in intercompany inventory at the end of a given year were sold to outside parties in the following year. Below are the details of the intercompany inventory sales: Year Intercompany Sales Intercompany ending inventory at transfer price Gross profit rate on intercompany inventory transfers 2022 $120,000 $55,000 25% 2023 $200,000 $110,000 28% In addition to these transfers of inventory, Williams sold a building to Roberts on January 1, 2023 for $154,000. The book value of the building was only $90,000 on that date. The building had an eight-year remaining useful life at the time of the transfer and is depreciated using the straight-line method with no salvage method. The building remains on Roberts books as of December 31, 2023. Separate financial statements for both companies on December 31, 2023 are shown below: Roberts Williams Revenues $(980,000) $(620,000) Cost of goods sold 613,000 420,000 Depreciation expense 116,250 84,000 Gain on Sale of Building -0- (64,000) Equity in Income of Williams (69,560) -0- Net Income $(320,310) $(180,000)

2 Retained earnings, 1/1/23 $(1,290,000) $(400,000) Net Income (above) (320,310) (180,000) Dividends paid 155,000 50,000 Retained earnings, 12/31/23 $(1,455,310) $(530,000) Cash $256,450 $225,000 Accounts receivable 297,500 232,000 Inventory 475,000 285,000 Investment in Williams Stock 647,360 -0- Land 180,000 200,000 Buildings and equipment (net) 714,000 193,000 Total assets $2,570,310 $1,135,000 Accounts payable $(150,000) $(65,000) Notes payable (155,000) (300,000) Common stock (610,000) (150,000) Additional paid-in capital (200,000) (90,000) Retained earnings, 12/31/23 (1,455,310) (530,000) Total liabilities and stockholders equity $2,570,310 $1,135,000 Required: Prepare all of the necessary eliminating entries (i.e. worksheet entries) needed at December 31, 2023 AND prepare the necessary worksheet to consolidate the two companies as of December 31, 2023. Be sure to show clearly the noncontrolling interest in both net income and stockholders equity on your worksheet.

Please help with the balance sheet and the eliminating entries

Roberts Corporation Williams Company Consolidation Entries Debit Credit Noncontrolling Interest Consolidated Totals 980,000 613,000 620,000 420,000 200,000 30,800 1,400,000 850,050 13,750 200,000 116,250 84,000 (64,000) 20,000 64,000 8,000 220,250 (8,000) 5 6 7 Accounts 8 9 Income Statement: 10 11 Revenues 12 Less: Cost of Goods Sold 13 14 Less: Depreciation Expense 15 Gain on Sale of Building 16 17 Equity in Earnings of Williams 18 Noncontrolling Interest in Income 19 Net Incomel(Loss) 20 21 Retained Earnings Statement: 22 23 Retained Earnings, Beginning of Period 24 25 Noncontrolling Interest, Beginning of Period 26 27 Net Income/(Loss) from Above 28. Dividends Paid Worksheet Allocations 69,560 69,560 17,390 17,390 17,390 320,310 320,310 180,000 384,360 221,750 1,290,000 400,000 1,290,000 13,750 386,250 154,450 125.250 29,200 162,610 320,310 155 000 Temnlate 1 180,000 50.000 Template 2 17,390 10.000 320,310 155 000 40.000 Entries + 1,290,000 400,000 13,750 386,250 1,290,000 154,450 125,250 29,200 162,610 320,310 155,000 1,455,310 180,000 50,000 530,000 40,000 194,450 17,390 10.000 161,840 320,310 155,000 1,455,310 562,610 23 Retained Earnings, Beginning of Period 24 25 Noncontrolling Interest, Beginning of Period 26 27 Net Income (Loss) from Above 28 Dividends Paid 29 Retained Earnings, End of Period 30 31 Balance Sheet: 32 33 Cash 34 Accounts Receivable 35 Inventory 36 37 Investment in Williams Stock 38 39 40 Buildings and Equipment 41 Land 42 Goodwill 43 Total Assets Worksheet Allocations 256,450 297,500 475,000 225,000 232,000 285,000 481,450 529,500 760,000 647,360 647,360 714,000 180,000 193,000 200,000 907,000 380,000 3.705.310 Entries 2.570.310 Template 1 1.135.000 Template 2 + Roberts Corporation Williams Company Consolidation Entries Debit Credit Noncontrolling Interest Consolidated Totals 714,000 180,000 193,000 200,000 907,000 380,000 2,570,310 1,135,000 3,705,310 150,000 155,000 65,000 300,000 215,000 455,000 6 7 Accounts 38 39 40 Buildings and Equipment 41 Land 42 Goodwill 43 Total Assets 44 45 Accounts Payable 46 Notes Payable 47 48 Common Stock 49 Additional Paid-in Capital 50 Ending Retained Earnings from Above 51 Ending Noncontrolling Interest from Above 52 53 Total Liabilities & Stockholder's Equity 54 55 Check 56 57 610,000 200,000 1,455,310 150,000 90,000 530,000 150,000 90.000 530,000 610,000 200,000 1,455,310 161,840 161,840 2,570,310 1,135,000 770,000 161,840 3,097,150 770,000 (608,160) 161,840 (608,160)