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 Saul's 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 $ 243,500 Accounts Payable. $ 152,500 387,000 Accounts Receivable 79,000 Bonds Payable Inventory 116,000 Common Stock 191,000 Buildings & Equipment 41,000 606,000 Additional Paid-In Capital (132,000) Retained Earnings 387,000 Less: Accumulated Depreciation Investment in Saul Corporation Total Assets 246,000 $1,158,500 Total Liabilities & Equities $1,158,500 SAUL CORPORATION Balance Sheet January 1, 20x1 Cash $148,000 $ 73,000 Accounts Payable Bonds Payable Accounts Receivable 119,000 287,000 Inventory 196,000 Common Stock ($10 par) 100,000 Buildings & Equipment 606,000 Additional Paid-In Capital 41,000 (231,000) Retained Earnings. 187,000 Less: Accumulated Depreciation Total Assets $763,000 Total Liabilities & Equities $763,000 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.) view transaction list view transaction list Consolidation Worksheet Entries