Padre, Inc., buys 80 percent of the outstanding common stock of Sierra Corporation on January 1, 2015, for $751,680 cash. At the acquisition date, Sierras total fair value, including the noncontrolling interest, was assessed at $939,600 although Sierras book value was only $683,000. Also, several individual items on Sierras financial records had fair values that differed from their book values as follows:

	Book Value			Fair Value
Land	$	68,200		$	268,200
Buildings and equipment (10-year remaining life)		350,000			327,000
Copyright (20-year life)		105,000			175,000
Notes payable (due in 8 years)		(205,000	)		(195,400	)

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	$	(1,431,820	)	$	(635,250	)
Cost of goods sold		764,000			414,000
Depreciation expense		293,000			12,600
Amortization expense		0			5,250
Interest expense		48,500			6,400
Equity in income of Sierra		(155,680	)		0
Net income	$	(482,000	)	$	(197,000	)
Retained earnings, 1/1/15	$	(1,467,500	)	$	(523,000	)
Net income (above)		(482,000	)		(197,000	)
Dividends declared		260,000			65,000
Retained earnings, 12/31/15	$	(1,689,500	)	$	(655,000	)
Current assets	$	1,018,140		$	685,650
Investment in Sierra		855,360			0
Land		339,000			68,200
Buildings and equipment (net)		956,000			337,400
Copyright		0			99,750
Total assets	$	3,168,500		$	1,191,000
Accounts payable	$	(204,000	)	$	(171,000	)
Notes payable		(525,000	)		(205,000	)
Common stock		(300,000	)		(100,000	)
Additional paid-in capital		(450,000	)		(60,000	)
Retained earnings (above)		(1,689,500	)		(655,000	)
Total liabilities and equities	$	(3,168,500	)	$	(1,191,000	)

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

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