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Pebbles Company acquired all of BamBam's common stock for $1,035,000 on December 31, 2021. On the date of the acquisition, the following stockholder's equity accounts

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Pebbles Company acquired all of BamBam's common stock for $1,035,000 on December 31, 2021. On the date of the acquisition, the following stockholder's equity accounts were on the books of BamBam: Common Stock Paid-in Capital Retained earnings $ 100,000 400,000 175,000 The book values and fair values of all of BamBam's assets and liabilities were as follows prior to the acquisition: Cash Accounts Receivable Inventory Land Building Equipment Account Payable Notes Payable Book Value $ 250,000 100,000 50,000 75,000 400,000 500,000 175,000 525,000 Fair Value $250,000 100,000 75,000 200,000 520,000 590,000 175,000 525.000 On that date prior to the acquisition, Pebbles Company's balance sheet appcared as follows: Assets Liabilities Cash $ 2,780,000 Current Payables $ 450,000 540,000 Accounts Receivables 770,000 Notes Payable 300.000 Stockholders' Equity On that date prior to the acquisition, Pebbles Company's balance sheet appeared as follows: Assets Liabilities Cash $ 2,780,000 Current Payables $ 450,000 Accounts Receivables 540,000 Notes Payable 770,000 Inventory 300,000 Stockholders' Equity Land 7,920,000 Common stock 650,000 Buildings and Equipment 11,260,000 Additional Paid-in 10,200,000 (net) Capital Retained Earnings 10,730,000 Total $ 22.800.000 $ 22.800,000 In recording this acquisition, push-down accounting was used. Required: 1) Record the acquisition of BamBam's stock on Pebble's books on December 31, 2021. 2) Record any entries that would be made on December 31, 2021, on BamBam's books related to the business combination. 3) Present all consolidating entries that would appear in the worksheet to prepare a consolidated halance sheet immediately after the combination. Pebbles Company acquired all of BamBam's common stock for $1,035,000 on December 31, 2021. On the date of the acquisition, the following stockholder's equity accounts were on the books of BamBam: Common Stock Paid-in Capital Retained earnings $ 100,000 400,000 175,000 The book values and fair values of all of BamBam's assets and liabilities were as follows prior to the acquisition: Cash Accounts Receivable Inventory Land Building Equipment Account Payable Notes Payable Book Value $ 250,000 100,000 50,000 75,000 400,000 500,000 175,000 525,000 Fair Value $250,000 100,000 75,000 200,000 520,000 590,000 175,000 525.000 On that date prior to the acquisition, Pebbles Company's balance sheet appcared as follows: Assets Liabilities Cash $ 2,780,000 Current Payables $ 450,000 540,000 Accounts Receivables 770,000 Notes Payable 300.000 Stockholders' Equity On that date prior to the acquisition, Pebbles Company's balance sheet appeared as follows: Assets Liabilities Cash $ 2,780,000 Current Payables $ 450,000 Accounts Receivables 540,000 Notes Payable 770,000 Inventory 300,000 Stockholders' Equity Land 7,920,000 Common stock 650,000 Buildings and Equipment 11,260,000 Additional Paid-in 10,200,000 (net) Capital Retained Earnings 10,730,000 Total $ 22.800.000 $ 22.800,000 In recording this acquisition, push-down accounting was used. Required: 1) Record the acquisition of BamBam's stock on Pebble's books on December 31, 2021. 2) Record any entries that would be made on December 31, 2021, on BamBam's books related to the business combination. 3) Present all consolidating entries that would appear in the worksheet to prepare a consolidated halance sheet immediately after the combination

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