On January 1, Play borrowed $60 and used the money to buy 80% of Slay. The fair value of the noncontrolling interest was $15. The 60 debt is payable in 10 installments, with the first one within the next 12 months.

After the above transactions, condensed balance sheet information for the two companies is:

Play Slay

Current assets 70 20

Investment in Slay 60 -

Noncurrent assets 90 40

Total 220 60

Current liabilities 36 10

Long-term debt 104 0

Stockholders equity 80 50

Total 220 60

The excess of the fair value of Slay at acquisition over the book value of equity was allocated to inventory (60%) and to goodwill (the remaining 40%)

20. Compute total consolidated current assets (4 points)

21. Compute consolidated shareholders equity (4 points) (hint be careful!)

22. Compute consolidated investment in Slay (4 points)

23. Give the entry or entries needed in consolidation as of the acquisition date (entries S and A in the book) (8 points)