Peanut Company acquired 100 percent of Snoopy Companys outstanding common stock for $314,000 on January 1, 20X8, when the book value of Snoopys net assets was equal to $314,000. Peanut uses the equity method to account for investments. Trial balance data for Peanut and Snoopy as of December 31, 20X8, are as follows:

Required: a. Prepare the journal entries on Peanuts books for the acquisition of Snoopy on January 1, 20X8, as well as any normal equity method entry(ies) related to the investment in Snoopy Company during 20X8

b.

Can you explain how to find/caluclate the numbers that replace the 111s in the sheet?

Consolidated Financial Statements Worksheet December 31, 208 Balance Sheet Assets Cash Accounts receivable Inventory Investment in Snoopy Co. Land Buildings \& Equipment Less: Accumulated depreciation Total Assets $ 146,000 $ 79,000 $ 225,000 Liabilities \& Equity Accounts payable Bonds payable Common stock Retained earnings Total Liabilities \& Equity \begin{tabular}{|l|l|l|l|l|l|} $1,340,000 & $492,000 & $374,000 & $ & 23,000 & $1,481,000 \\ \hline \hline \end{tabular}