Pepper Company acquired 90 percent of Salt Company's stock at underlying book value on January 1, 2008. At that date, the fair value of the non-controlling interest was equal to 10 percent of the book value of Salt Company. Salt Co. sold equipment to Pepper Co. for a $360,000 on December 31, 2008. Salt Co. had originally purchased the equipment for $400,000 on January 1, 2005, with a useful life of 10 years and no salvage value. At the time of the purchase, Pepper Co. estimated that the equipment still had the same remaining useful life. Both companies use straight-line depreciation. Pepper sold land costing $90,000 to Salt Company on June 28, 2009, for $122,000

1. Prepare Peppers journal entries related to inter-company sale at December 31, 2009.
2. Prepare the consolidation entries that related to inter-company sale of land at December 31, 2009.
3. Prepare the consolidation entries that related to inter-company sale of equipment at December 31, 2009.