Pea Corporation acquired 80 percent of Split Brewing Company's stock on January 1, 20X1, at underlying book value. At that date, the fair value of the noncontrolling interest was equal to 20 percent of Split's book value. On January 1, 20X1, Split issued $306,000 par value, 8 percent, 10-year bonds to Malt Company. Pea subsequently purchased $106,000 of the bonds from Malt for $118,000 on January 1, 20X3. Interest is paid semiannually on January 1 and July 1. Assume Pea Corporation uses the fully adjusted equity method. Summarized balance sheets for Pea and Split as of December 31, 20X4, follow: Cash & Receivables Inventory Buildings & Equipment (net) Investment in Split Company: Bonds Stock Total Assets PEA CORPORATION Balance Sheet December 31, 20x4 $127,500 Accounts Payable 202,000 Bonds Payable $ 71,000 394,000 190,000 305,600 332,000 Common Stock Retained Earnings 107,500 191,600 $960,600 Total Liabilities & Owners' Equity $960,600 SPLIT BREWING COMPANY Balance Sheet December 31, 20X4 $129,000 Accounts Payable Cash & Receivables Inventory 152,000 Bonds Payable $ 61,000 306,000 Buildings & Equipment (net) 372,000 Bond Premium 36,000 Common Stock 90,000 Retained Earnings 160,000 Total Assets $653,000 Total Liabilities & Owners' Equity $653,000 At December 31, 20X4, Split holds $42,000 of inventory purchased from Pea, and Pea holds $26,000 of inventory purchased from Split. Split and Pea sell at cost plus markups of 30 percent and 40 percent, respectively. Assume total sales from Pea to Split were $147,000 and from Split to Pea were $130,000. Required: a. Prepare all consolidation entries needed on December 31, 20X4, to complete a consolidated balance sheet worksheet. Assume Split earned $76,000 and paid $12,000 in dividends during the year. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) view transaction list Record the basic consolidation entry. B Record the entry to defer the unrealized profits on inventory transfers. Record the bonds and other debt consolidation entries. Record the entry to eliminate the intercompany interest receivables/payables. JE A-D only Credit >