Padre, Inc., buys 80 percent of the outstanding common stock of Sierra Corporation on January 1, 2015, for $796,960 cash. At the acquisition date, Sierras total fair value, including the noncontrolling interest, was assessed at $996,200 although Sierras book value was only $623,000. Also, several individual items on Sierras financial records had fair values that differed from their book values as follows:

	Book Value			Fair Value
Land	$	60,600		$	286,600
Buildings and equipment (10-year remaining life)		340,000			322,000
Copyright (20-year life)		172,000			322,000
Notes payable (due in 8 years)		(132,000	)		(116,800	)

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	$	(1,396,980	)	$	(657,250	)
Cost of goods sold		736,000			399,000
Depreciation expense		298,000			15,100
Amortization expense		0			8,600
Interest expense		50,100			5,550
Equity in income of Sierra		(177,120	)		0
Net income	$	(490,000	)	$	(229,000	)
Retained earnings, 1/1/15	$	(1,380,000	)	$	(463,000	)
Net income (above)		(490,000	)		(229,000	)
Dividends declared		260,000			65,000
Retained earnings, 12/31/15	$	(1,610,000	)	$	(627,000	)
Current assets	$	854,920		$	569,100
Investment in Sierra		922,080			0
Land		369,000			60,600
Buildings and equipment (net)		955,000			324,900
Copyright		0			163,400
Total assets	$	3,101,000		$	1,118,000
Accounts payable	$	(220,000	)	$	(199,000	)
Notes payable		(521,000	)		(132,000	)
Common stock		(300,000	)		(100,000	)
Additional paid-in capital		(450,000	)		(60,000	)
Retained earnings (above)		(1,610,000	)		(627,000	)
Total liabilities and equities	$	(3,101,000	)	$	(1,118,000	)

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

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