Penny Manufacturing Company acquired 75 percent of Saul Corporation stock at underlying book value. At the date of acquisition, the fair value of the noncontrolling interest was equal to 25 percent of Sauls book value. The balance sheets of the two companies for January 1, 20X1, are as follows:

PENNY MANUFACTURING CORPORATION Balance Sheet January 1, 20X1
Cash	$	238,500			Accounts Payable	$	119,250
Accounts Receivable		76,000			Bonds Payable		394,000
Inventory		100,000			Common Stock		185,000
Buildings & Equipment		608,000			Additional Paid-In Capital		35,000
Less: Accumulated Depreciation		(142,000	)		Retained Earnings		394,000
Investment in Saul Corporation		246,750
Total Assets	$	1,127,250			Total Liabilities & Equities	$	1,127,250

SAUL CORPORATION Balance Sheet January 1, 20X1
Cash	$	70,000			Accounts Payable	$	123,000
Accounts Receivable		116,000			Bonds Payable		294,000
Inventory		180,000			Common Stock ($10 par)		100,000
Buildings & Equipment		608,000			Additional Paid-In Capital		35,000
Less: Accumulated Depreciation		(228,000	)		Retained Earnings		194,000
Total Assets	$	746,000			Total Liabilities & Equities	$	746,000

On January 2, 20X1, Penny purchased an additional 2,500 shares of common stock directly from Saul for $150,000. Required: a. Prepare the consolidation entry needed to complete a consolidated balance sheet worksheet immediately following the issuance of additional shares to Penny. (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 immediately following the issuance of additional shares to Penny. (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.)