P4-25 Assignment of Differential in Worksheet LO 4-5

Pork Corporation acquired all the voting shares of Swine Enterprises on January 1, 20X4. Balance sheet amounts for the companies on the date of acquisition were as follows:

P4-25 Assignment of Differential in Worksheet LO 4-5 Pork Corporation acquired all the voting shares of Swine Enterprises on January 1, 20x4. Balance sheet amounts for the companies on the date of acquisition were as followS: Swine Buildings &Equipment vestment in Swine Enterprises Total Debits 905.000 380,000 175.000 Accounts Playable Retained Eamings Total Cred Swine Enterprises'buildings and equipment were estimated to have a market value of $175,000 on January 1, 20X4. All other items appeared to have market values approximating current book values Elimination Entry.) Required a. Complete the consolidated balance sheet worksheet for January 1, 20X4 (Values in the first two columns (the "parent" and "subsidiary" balances) that are to be deducted should be indicated with a minus sign, while all values in the "Consolidation Entries" columns should be entered as positive values. For accounts where multiple adjusting entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet.) Conselidalion Entries Pork Corp b. Complete the Balance Sheet. (Amounts to be deducted should be indicated by a minus sign.) PORK CORPORATION AND SUBSIDIARY Consolidated Balance Sheet January 1, 20X4 Assets Cash & receivables Inventory Land Buildings &equipment Less: Accumulated depreciation Goodwill Total Assets Liabilities & Stockholders'Equity Accounts payable Notes payable Common slock Retained earnings Total Liabilities&Stockholders' Equity