Pea Corporation acquired 80 percent of Split Brewing Companys 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 Splits book value. On January 1, 20X1, Split issued $305,000 par value, 8 percent, 10-year bonds to Malt Company. Pea subsequently purchased $105,000 of the bonds from Malt for $117,000 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:

PEA CORPORATION
Balance Sheet
December 31, 20X4
Cash & Receivables	$	128,500		Accounts Payable	$	79,400
Inventory		218,000		Bonds Payable		388,000
Buildings & Equipment (net)		320,000		Common Stock		184,000
Investment in Split Company:				Retained Earnings		303,600
Bonds		106,500
Stock		182,000
Total Assets	$	955,000		Total Liabilities & Owners Equity	$	955,000

SPLIT BREWING COMPANY
Balance Sheet
December 31, 20X4
Cash & Receivables	$	130,000		Accounts Payable	$	79,000
Inventory		168,000		Bonds Payable		305,000
Buildings & Equipment (net)		360,000		Bond Premium		36,000
				Common Stock		84,000
				Retained Earnings		154,000
Total Assets	$	658,000		Total Liabilities & Owners Equity	$	658,000

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 $104,000. Required: a. Prepare all consolidation entries needed on December 31, 20X4, to complete a consolidated balance sheet worksheet. Assume Split earned $79,000 and paid $11,000 in dividends during the year. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

b. Prepare a consolidated balance sheet worksheet. (Values in the first two columns (the "parent" and "subsidiary" balances) that are to be deducted should be indicated with a minus sign, while all values in the "Consolidation Entries" columns should be entered as positive values. For accounts where multiple adjusting entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet.)

c. Prepare a consolidated balance sheet in good form. (Amounts to be deducted should be indicated with a minus sign.)