On May 1, 2015, Peters Company purchased 80% of the common stock of Smith Company for $53,600. Additional data concerning these two companies for the years 2015 and 2016 are: 2015 2016 Peters Smith Peters Smith Common stock $103,500 $26,700 $103,500 $26,700 Other contributed capital 43,600 10,700 43,600 10,700 Retained earnings, 1/1 74,200 10,200 119,000 55,800 Net income (loss) 58,500 47,400 34,400 (5,100) Cash dividends (11/30) 13,700 1,800 5,300 -0- Any difference between book value and the value implied by the purchase price relates to Smith Company's land. Peters Company uses the cost method to record its investment. Prepare the workpaper entries that would be made on a consolidated statements workpaper for the years ended December 31, 2015 and 2016 for Peters Company and its subsidiary, assuming that Smith Company's income is earned evenly throughout the year. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation Debit Credit 2015 Dividend Income 1440 Dividends Declared - Subsidiary Company 1440 (To record dividend income) Common Stock - Subsidiary Company 26,700 Other Contributed Capital - Subsidiary Company 10,700 Retained Earnings - Subsidiary Company 10,200 Subsidiary Income Purchased 15800 Difference between Implied and Book Value 3600 Investment in Subsidiary 53600 Noncontrolling Interest 13400 (To eliminate investment in subsidiary and create noncontrolling interest) Land 3600 Difference between Implied and Book Value 3600 (To eliminate excess of the book value of equity acquired.) 2016 Investment in Subsidiary 23840 Retained Earnings - Parent Company 23840 (To establish reciprocity) Common Stock - Subsidiary Company 26,700 Other Contributed Capital - Subsidiary Company 10,700 Retained Earnings - Subsidiary Company 55,800 Land 3600 Investment in Subsidiary 77440 Noncontrolling Interest 19360 (To eliminate investment in subsidiary and create noncontrolling interest) (b) Calculate controlling interest in consolidated net income and consolidated retained earnings for 2015 and 2016. 2015 2016 Controlling interest in consolidated net income $ $ Consolidated Retained Earnings $ 142840 $ 167860