Pirate Corporation acquired 60 percent ownership of Ship Company for $96,000 on January 1, 20X8, at underlying book value. At that date, the fair value of the noncontrolling interest was equal to 40 percent of the book value of Ship Company. Accumulated depreciation on Buildings and Equipment was $75,000 on the acquisition date. Trial balance data at December 31, 20X9, for Pirate and Ship are as follows:

	Pirate Corporation									Ship Company
Item	Debit				Credit					Debit				Credit
Cash		$	18,000								$	11,000
Accounts Receivable			45,000									21,000
Inventory			40,000									30,000
Buildings & Equipment			585,000									257,000
Investment in Row Company												44,000
Investment in Ship Company			116,400
Cost of Goods Sold			170,000									97,000
Depreciation Expense			30,000									10,000
Interest Expenses			8,000									3,000
Dividends Declared			40,000									20,000
Accumulated Depreciation						$	170,000								$	95,000
Accounts Payable							75,000									24,000
Bonds Payable							100,000									50,000
Common Stock							200,000									100,000
Retained Earnings							231,000									70,000
Accumulated Other Comprehensive Income							6,000									10,000
Other Comprehensive Income from Ship Company (OCI)Unrealized Gain on Investments							2,400
Unrealized Gain on Investments (OCI)																4,000
Sales							250,000									140,000
Income from Ship Company							18,000
		$	1,052,400			$	1,052,400				$	493,000			$	493,000

Additional Information Ship purchased stock of Row Company on January 1, 20X8, for $30,000 and classified the investment as available-for-sale securities. The value of Rows securities increased to $40,000 and $44,000, respectively, at December 31, 20X8, and 20X9. Assume that depreciation expense was $10,000 for the previous year as well.

Prepare a three-part consolidation worksheet for 20X9 in good form.

PIE CORPORATION AND SUBSIDIARY
Worksheet for Consolidated Financial Statements
December 31, 20X9
			Consolidation Entries
	Pie Corp.	Slice Co.	DR	CR	Consolidated
Income Statement
Sales
Less: COGS
Less: Wage expense
Less: Depreciation expense
Less: Interest expense
Less: Other expenses
Income from Slice Company
Consolidated net income
NCI in net income
Controlling Interest in Net Income
Statement of Retained Earnings
Beginning balance
Net income
Less: Dividends declared
Ending Balance
Balance Sheet
Cash
Accounts receivable
Inventory
Land
Buildings and equipment
Less: Accumulated depreciation
Investment in Slice Company
Goodwill
Total Assets
Accounts payable
Wages payable
Notes payable
Common stock
Retained earnings
NCI in NA of Slice Company
Total Liabilities and Equity