On January 1, 20X5, Pond Corporation acquired 80 percent of Skate Company's stock by issuing common stock with a fair value of $180,000. At that date, Skate reported net assets of $150,000. The fair value of the noncontrolling interest was $45,000. Assume Pond uses the fully adjusted equity method. The balance sheets for Pond and Skate at January 1, 20X8, and December 31, 20X8, and Income statements for 20X8 were reported as follows: 20x8 Balance Sheet Data Pond Corporation December 31 January 1 $ 40,400 120,000 $ 68,400 Skate Company January 1 December 31 $ 10,000 $ 47,000 130,000 60,000 65,000 40,000 45,000 8,000 10,000 100,000 140,000 50,000 50,000 50,000 50,000 22,000 22,000 400,000 400,000 240,000 240,000 (150,000) (185,000) (70,000) (94,000) 200,100 134,000 $ 982,500 $320,000 $340,000 $ 65,000 $ 16,500 $ 11,000 40,000 45,000 7,000 12,000 300,000 300,000 100,000 100,000 (3,500) (3,000) 150,000 150,000 30,000 30,000 155,000 155,000 20,000 20,000 216,000 267,500 150,000 170,000 $ 921,000 $ 982,500 $320,000 $340,000 Cash Accounts Receivable Interest & Other Receivables Inventory Land Buildings & Equipment Accumulated Depreciation Investment in Skate Co. Investment in Tin Co. Bonds Total Assets Accounts Payable Interest & Other Payables Bonds Payable Bond Discount Common Stock Additional Paid-in Capital. Retained Earnings Total Liabilities and Equities 185,600 135,000 $ 921,000 $ 60,000 Sales Income from Skate Co. Interest Income Total Revenue Cost of Goods Sold Other Operating Expenses Depreciation Expense Interest Expense Miscellaneous Expenses Net Income 20X8 Income Statement Data Pond Corporation. Skate Company $450,000 22,500 $ 250,000 14,900 487,400 $250,000 $285,000 $136,000 50,000 40,000 35,000 24,000 24,000 10,500 11,900 (405,900) 9,500 $ 81,500 (220,000) $ 30,000