Peer Company acquired

of the common stock of Sight Company January $1,$ year one, for

The consideration given was proportional to Sight' fair value.

On that date, Sight had the following trial balance:

account

debit

Additional paid in capital

credit

$$100\mathrm{.}000$

Building $(12-$year life$)$

$$250\mathrm{.}000$

Common stock

$170\mathrm{.}000$

Current assets

Equipment $(6-$yr life$)$

Land

$170000$

$160\mathrm{.}000$

$110\mathrm{.}000$

Liabilities $($due in $4$ years$)$

Retained earnings $1/$year $1$

$300\mathrm{.}000$

$120\mathrm{.}000$

Totals

$$690\mathrm{.}000$ $$690\mathrm{.}000$

$75\%$

$$450\mathrm{.}000$

During year one, Sight reported net income of

During year one, Sight paid dividends of

During year two, Sight reported net income of

During year two, Sight paid dividends of

On January $1,$ year one, fair values of certain Sight's accounts were:

Land

$$122\mathrm{.}000$

Building

$$265000$

Equipment

$$172\mathrm{.}000$

There was no impairment of any goodwill arising from the acquisition.

Please use Equity method for Peer to

account for its acquisition of Sight Company.

Use the data for the Peer Company acquisition of the Sight

Company to prepare the consolidation entries $($Journal Entries$)$

for December $31$ of year one. For clarity, use the

entrv labels like S$.$ A I and so on$.$

$$50000$

$$30\mathrm{.}000$

$$80\mathrm{.}000$

$$40000$