On January 1, 20X1, Parent Company purchased 15,000 common shares of Subsidiary LTD for $ 122, 400. The preferred stock was selling at par value. (The fair value of the preferred stock was equal to its capital account.) Subsidiary LTD's stockholders' equity reported the following amounts: 5 %, preferred stock, par value $ 100, cumulative and convertible, 10,000 shares authorized, 2,000 issued and outstanding, $ 200,000. Common stock, par value $ 5, 500,000 shares authorized, 100,000 shares issued and outstanding, $500,000. Additional paid-in-capital: common stock, $ 175,000. Retained earnings, $ 125,000. At the annual meeting in February the president of Parent Company was elected to the board. Subsidiary LTD reported income of $ 50,000 and dividends of $ 15,000. Prepare an acquisition schedule assuming any excess is associated with equipment with a remaining useful life of five years. Prepare all journal entries for Parent Company's investment for 20X1