Police Corporation acquired 100 percent of Station Corporation's voting shares on January 1, 20X3, at underlying book value. At that date, the book values and fair values of Station's assets and liabilities were equal. Police uses the equity method in accounting for its investment in Station. Adjusted trial balances for Police and Station on December 31, 20X4, are as follows:

	Police Corporation								Station Corporation
Item	Debit				Credit				Debit				Credit
Current Assets	$	229,000							$	167,000
Depreciable Assets (net)		307,000								221,000
Investment in Station Corporation		236,000
Depreciation Expense		21,000								11,000
Other Expenses		154,000								87,000
Dividends Declared		57,000								24,000
Current Liabilities					$	54,000							$	34,000
Long-Term Debt						98,000								118,000
Common Stock						195,000								94,000
Retained Earnings						388,000								122,000
Sales						225,000								142,000
Income from Station Corporation						44,000
	$	1,004,000			$	1,004,000			$	510,000			$	510,000

Required: a. Prepare the basic consolidation entry required on December 31, 20X4, to prepare consolidated financial statements

b. Prepare a three-part consolidation worksheet as of December 31, 20X4.