Padre, Inc., buys 80 percent of the outstanding common stock of Sierra Corporation on January 1, 2015, for $736,480 cash. At the acquisition date, Sierras total fair value, including the noncontrolling interest, was assessed at $920,600 although Sierras book value was only $606,000. Also, several individual items on Sierras financial records had fair values that differed from their book values as follows:

	Book Value			Fair Value
Land	$	67,000		$	294,000
Buildings and equipment (10-year remaining life)		366,000			324,000
Copyright (20-year life)		190,000			310,000
Notes payable (due in 8 years)		(181,000	)		(171,400	)

For internal reporting purposes, Padre, Inc., employs the equity method to account for this investment. The following account balances are for the year ending December 31, 2015, for both companies.

		Padre			Sierra
Revenues	$	(1,544,300	)	$	(620,500	)
Cost of goods sold		796,000			449,000
Depreciation expense		276,000			17,500
Amortization expense		0			9,500
Interest expense		47,500			7,500
Equity in income of Sierra		(107,200	)		0
Net income	$	(532,000	)	$	(137,000	)
Retained earnings, 1/1/15	$	(1,482,500	)	$	(446,000	)
Net income (above)		(532,000	)		(137,000	)
Dividends declared		260,000			65,000
Retained earnings, 12/31/15	$	(1,754,500	)	$	(518,000	)
Current assets	$	1,137,820		$	493,000
Investment in Sierra		791,680			0
Land		361,000			67,000
Buildings and equipment (net)		941,000			348,500
Copyright		0			180,500
Total assets	$	3,231,500		$	1,089,000
Accounts payable	$	(232,000	)	$	(230,000	)
Notes payable		(495,000	)		(181,000	)
Common stock		(300,000	)		(100,000	)
Additional paid-in capital		(450,000	)		(60,000	)
Retained earnings (above)		(1,754,500	)		(518,000	)
Total liabilities and equities	$	(3,231,500	)	$	(1,089,000	)

At year-end, there were no intra-entity receivables or payables.

Using the acquisition method, prepare the worksheet to consolidate these two companies.