Peanut Company acquired 100 percent of Snoopy Company's outstanding common stock for $304,000 on January 1, 20x8, when the book value of Snoopy's net assets was equal to $304,000. Accumulated depreciation on this date was $12,000. Peanut chooses to carry the investment in Snoopy at cost because the investment will be consolidated. The following trial balance summarizes the financial position and operations for Peanut and Snoopy as of December 31, 20X9233 186,880 60,880 12. 12.000 Peanut Company Snoopy Company Debit Credit Debit Credit Cash $ 238,0003333333 $ 77,280 Accounts Receivable 90,000 Inventory 183,800 107,898 Investment in Snoopy 304,000 e Company 333 Land 209,000 Buildings & Equipment 704,000 333212,800 Cost of Goods Sold 277,280 145,000 Depreciation Expense Selling & 79,008 Administrative Expense Dividends Declared Accumulated $ 36,000 Depreciation Accounts Payable 24,000 Bonds Payable 71,000 Common Stock 184,000 Retained Earnings 248,000 Sales 297,000 Dividend Income Total $2,648,000 $2,643,000 $360,000 $ 860,000 231,089 228, 29 -2, 0 Required: a. Prepare any Journal entry(ies) related to the investment in Snoopy Company during 20X9. (If no entry Is required for a transaction/event, select "No Journal entry required" In the first account fleld.) Viwanacions Journal entry work: Record Peanut Co al Journal Record entry Prer 2 0211! Ne b. Prepare a consolidation worksheet for 20X9. (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.) PEANUT COMPANY AND SUBSIDIARY Consobdated Financial Statements Worksheet December 31, 20x9 Consolidation Entries Peanut Co Snoopy Co. Income Statement Sales Lese Cost of goods sold Last Dopredanon expense Less Selling & Adminstrative Dvdend income pense Net income Statement of Retained Earings Beginning boso 103 dered Encing Balance Statement of Retained Earnings Beginning balance Net income Less: Dividends declared Ending Balance Balance Sheet 15 sets Investment in Snoopy Co. Burdinas s Ourent Total Assets Liabilities Equity T bilities & Equity Peanut Company acquired 100 percent of Snoopy Company's outstanding common stock for $304,000 on January 1, 20X8, when the book value of Snoopy's net assets was equal to $304,000. Accumulated depreciation on this date was $12,000. Peanut chooses to carry the investment in Snoopy at cost because the investment will be consolidated. The following trial balance summarizes the financial position and operations for Peanut and Snoopy as of December 31, 20X9: Peanut Company Snoopy Company $ 238,000 71000 Account Receive 107 000 183 000 304.000 Investment in Snoopy Company 704.000 277000 50,000 231,000 106.000 212.000 145 000 12.000 79.000 Buildings & Equipment Cost of Goods Sold Depreciation Expense Seling & Administrative Expense Dividends Declared Accu e d Depreciation Accounts Payable Bonds Payable Common Stock Retained Earings $36.000 71.000 $ 520 000 59.000 147.000 485.000 557,000 848 000 32,000 $2.648,000 $2.648.000 248.000 297 000 Dividend Income Total SH0.000 0.000 Required: a. Prepare any journal entry(ies) related to the investment in Snoopy Company during 20X9. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet CA Record Peanut Co.'s 100% share of Snoopy Co.'s 20x9 dividend. recret b. Prepare a consolidation worksheet for 20X9. (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.) PEANUT COMPANY AND SUBSIDIARY Consolidated Financial Statements Worksheet December 31, 20x9 Consolidation Entries Peanut Co. Snoopy Co. DR CR Consolidated Income Statement Sales Less: Cost of goods sold Less: Depreciation expense Less: Selling & Administrative expense Dividend income Net income $ 0 $ 0 $ 0 $ 0 $ Statement of Retained Earnings Beginning balance Net Income Less: Dividends declared Ending Balance $ 0 $ 0 $ 0 $ 0 $ 0 Balance Sheet Assets Cash Accounts receivable $ 0 $ 0 $ 0 $ 0 $ Inventory Investment in Snoopy Co. Land Buildings & Equipment Less Accumulated depreciation Total Assets Liabilities & Equity Accounts payable Bonds payable Common stock Retained earnings Total Liabilities & Equity $ 0 $ 0 $ 0 $ 0 $ 0