Pace Corporation acquired 100 percent of Spin Company's common stock on January 1, 20X9. Balance sheet data for the two companies immediately following the acquisition follow:

At the date of the business combination, the book values of Spin's net assets and liabilities approximated fair value except for inventory, which had a fair value of $60,000, and land, which had a fair value of $50,000. The fair value of land for Pace Corporation was estimated at $80,000 immediately prior to the acquisition.

Prepare the basic eliminating entry that would appear immediately after acquisition.

Pace Spin Corporation S30.000 Iterm Cash Accounts Receivable Inventory Land Buildings and Equipment Less: Accumulated Depreciation Investment in Spin Company Stoclk Total Assets Accounts Payable Taxes Payable Bonds Payable Common Stock Retained Earnings Company 80,000 150,000 65.000 260,000 (120,000) 150,000 $25,000 40,000 55,000 40,000 160,000 (50,000) S615.000 $45.000 $270,000 $33,000 20,000 200,000 50,000 300,000 8,000 100,000 20,000 109,000 $270,000 Total Liabilities and Stockholders' Equity$615,000