Padre, Inc., buys 80 percent of the outstanding common stock of Sierra Corporation on January 1, 2021, for $778,400 cash. At the acquisition date, Sierras total fair value, including the noncontrolling interest, was assessed at $973,000 although Sierras book value was only $674,000. Also, several individual items on Sierras financial records had fair values that differed from their book values as follows:

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

Prepare a worksheet to consolidate the financial statements of these two companies.

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 31,2021 , for both companies