Plaza, Inc., acquires 80 percent of the outstanding common stock of Stanford Corporation on January 1, 2021, in exchange for $1,052,900 cash. At the acquisition date, Stanford's total fair value, including the noncontrolling interest, was assessed at $1,316,125. Also at the acquisition date, Stanford's book value was $543,900. Several individual items on Stanford's financial records had fair values that differed from their book values as follows: Book Value Fair Value $284,600 $422,200 Trade names (indefinite life) Property and equipment (net, 8-year remaining life) Patent (14-year remaining life) 233, 600 134,900 251,200 165,700 For internal reporting purposes, Plaza, Inc., employs the equity method to account for this investment. The following account balances are for the year ending December 31, 2021, for both companies. Revenues Cost of goods sold Depreciation expense Amortization expense Equity in income of Stanford Net income Plaza $ (852,700) 471,400 199,800 0 (276,000) $ (457,500) Stanford $ (714,100) 313,200 29,200 22,300 0 $ (349,400) Retained earnings, 1/1/21 Net income Dividends declared Retained earnings, 12/31/21 $(1,009, 100) (457,500) 237,400 $(1,229, 200) $ (418,900) (349,400) 22,000 $ (746,300) $ Current assets Investment in Stanford Trade names 680,500 1,311,300 190,000 $ 341,700 0 284,600 For internal reporting purposes, Plaza, Inc., employs the equity method to account for this investment. The following account balances are for the year ending December 31, 2021, for both companies. Revenues Cost of goods sold Depreciation expense Amortization expense Equity in income of Stanford Net income Plaza $ (852,700) 471,400 199,800 0 (276,000) $ (457,500) Stanford $ (714,100) 313,200 29,200 22,300 0 $ (349,400) Retained earnings, 1/1/21 Net income Dividends declared Retained earnings, 12/31/21 $(1,009, 100) (457,500) 237,40 $(1,229,200) $ (418,900) (349,400) 22,000 $ (746,300) Current assets Investment in Stanford Trade names Property and equipment (net) Patents Total assets $ 680,500 1,311,300 190,000 815,500 0 $ 2,997,300 $ 341,700 0 284,600 204,400 112,600 $ 943,300 Accounts payable Common stock Additional paid-in capital Retained earnings (above) Total liabilities and equities $ (112,500) (237,500) (1,418,100) (1,229,200) $(2,997,300) $ (72,000) (80,000) (45,000) (746,300) $(943,300) At year-end, there were no intra-entity receivables or payables. At year-end, there were no intra-entity receivables or payables. Prepare a worksheet to consolidate the financial statements of Plaza, Inc., and its subsidiary Stanford. (For accounts where multiple consolidation 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. Input all amounts as positive values.) Noncontrolling Interest $ PLAZA CORPORATION AND STANFORD CORPORATION Consolidation Worksheet For Year Ending December 31, 2021 Consolidation Entries Plaza Stanford Debit Credit (852,700) $ (714,100) 471,400 313,200 199,800 29,200 2,200 0 22,300 2,200 (276,000) 0 276,000 (457,500) $ (349,400) Consolidated Totals $ (1,566,800) 784,600 231,200 24,500 $ Accounts Revenues Cost of goods sold Depreciation expense Amortization expense Equity in income of Stanford Net income Consolidated net income NCI share of CNI Plaza share of CNI Retained earnings, 1/1/21 Net income Dividends declared Retained earnings, 12/31/21 Current assets 69,000 $ 418,900 (1,009,100) $ (418,900) (457,500) (349,400) 237,400 22,000 (1,229,200) $ (746,300) 680,500 $ 341,700 (526,500) (69,000) $ (457,500) $ (1,009,100) (457,500) 237,400 $ (1,229,200) $ 1,022,200 17,600 4,400 $ $ UUSI UI youus SUIU 104, UUU 471,400 J13,2UU 199,800 29,200 0 22,300 (276,000) 0 (457,500) $ (349,400) 2,200 2,200 276,000 231,200 24,500 0 $ 69,000 $ $ (526,500) (69,000) $ (457,500) $ (1,009, 100) (457,500) 237,400 $ (1,229,200)| $ 1,022,200 4,400 $ $ Depreciation expense Amortization expense Equity in income of Stanford Net income Consolidated net income NCI share of CNI Plaza share of CNI Retained earnings, 1/1/21 Net income Dividends declared Retained earnings, 12/31/21 Current assets Investment in Stanford Tradenames Property and equipment (net) Patents Goodwill Total assets Accounts payable Common stock Additional paid-in capital Noncontrolling interest Retained earnings, 12/31 Total liabilities and equities (1,009, 100) $ (418,900) 418,900 (457,500) (349,400) 237,400 22,000 17,600 (1,229,200) $ (746,300) 680,500 $ 341,700 1,311,300 0 17,600 190,000 284,600 137,600 815,500 204,400 17,600 0 112,600 30,800 586,225 2,997,300 $ 943,300 (112,500) (72,000) (237,500) (80,000) 80,000 (1,418,100) (45,000) 45,000 108,780 (1,229,200) (746,300) 154,445 (2,997,300) $ (943,300) $ 1,614,125 $ 280,825 612,200 1,035,300 141,200 586,225 $ (184,500) (237,500) (1,418,100)| 327,825 (1,229,200)| $ (3,397,125) 263,225 $