Plaza, Inc., acquires 80 percent of the outstanding common stock of Stanford Corporation on January 1, 2021, in exchange for $912,900 cash. At the acquisition date, Stanford's total fair value, including the noncontrolling interest, was assessed at $1,141,125. Also at the acquisition date, Stanford's book value was $524,500. Several individual items on Stanford's financial records had fair values that differed from their book values as follows: Book Value Fair Value Trade names (indefinite life) Property and equipment (net, 8-year $286,700 $350,700 remaining life) Patent (14-year remaining life) 231,200 113,300 248,800 146,900 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 Retained earnings, 1/1/21 Net income Dividends declared Retained earnings, 12/31/21 Current assets Investment in Stanford Trade names Property and equipment (net) Patents Total assets Accounts payable Common stock Additional paid-in capital Retained earnings (above) Total liabilities and equities Plaza $ (755,900) 417,900 177,100 0 (300,000) $ (460,900) $ (1,016,600) (460,900) 239,200 $ (1,238,300) 685,600 1,195,300 191,400 821,500 0 $ 2,893,800 Stanford $ (746,500) 315,500 28,900 22,500 0 $ (379,600) $ (422,000) (379,600) 22,000 $ (779,600) $ 344,300 286,700 202,300 90,800 $ 924,100 $ (113,300) $ (42,000) (239,200) (84,000) (1,303,000) (1,238,300) (18,500) (779,600) $(2,893,800) $ (924,100) 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.) PLAZA CORPORATION AND STANFORD CORPORATION Consolidation Worksheet For Year Ending December 31, 2021 Accounts Plaza Stanford Consolidation Entries Debit Credit Noncontrolling Consolidated Interest Totals Revenues $ (755,900) $ (746,500) Cost of goods sold 417,900 315,500 Depreciation expense 177,100 28,900 Amortization expense 0 22,500 Equity in income of Stanford (300,000) 0 Net income $ (460,900) $ (379,600) Consolidated net income NCI share of CNI Plaza share of CNI Retained earnings, 1/1/21 $ (1,016,600) $ (422,000) Net income (460,900) (379,600) Dividends declared 239,200 22,000 Retained earnings, 12/31/21 $ (1,238,300) $ (779,600) Current assets $ 685,600 $ 344,300 Investment in Stanford 1,195,300 0 Tradenames 191,400 286,700 Property and equipment (net) 821,500 202,300 Patents 0 90,800 Goodwill Total assets Accounts payable Common stock Additional paid-in capital Noncontrolling interest Retained earnings, 12/31 $ 2,893,800 $ 924,100 (113,300) (42,000) (239,200) (84,000) (1,303,000) (18,500) (1,238,300) (779,600) Total liabilities and equities $ (2,893,800) $ (924,100)