Parent and Two Subsidiaries, Intercompany Notes On January 2, 2014, Phillips Company purchased 80% of Sanchez Company and 90% of Thomas Company for $225,000 and $168,000, respectively. Immediately before the acquisitions, the balance sheets of the three com- panies were as follows:

	Philips	Sanchez	Thomas
Cash	$400,000	$43,700	$20,000
Accounts Receivable	28,000	24,000	20,000
Note Receivable	-0-	10,000	-0-
Interest Receivable	-0-	300	-0-
Inventory	120,000	96,000	43,000
Equipment	60,000	40,000	30,000
Land	180,000	80,000	70,000
Total	$788,000	$294,000	$183,000
Accounts Payable	$28,000	$20,000	$18,000
Note Payable	-0-	-0-	10,000
Common Stock	300,000	120,000	75,000
Other Contributed Capital	300,000	90,000	40,000
Retained Earnings	160,000	64,000	40,000
Total	$788,000	$294,000	$183,000

The note receivable and interest receivable of Sanchez relate to a loan made to Thomas Company on October 1, 2013. Thomas failed to record the accrued interest expense on the note.

Required: Prepare a consolidated balance sheet workpaper as of January 2, 2014. Any difference between book value and the value implied by the purchase price relates to subsidiary land.