Pond Corporation owns 75% of Skate Company's Stock. On July 1, 20X6, Skate sold land that it had purchased for $22,000 to Pond for $35,000. Pond is planning to build a new warehouse on the property prior to the end of 20X9.

A)Prepare the 20X8 journal entries recorded on Ponds books related to its investment in Skate if Pond uses the fully adjusted equity method.

B)Prepare all eliminating entries needed at December 31, 20X8 to complete a three-part consolidation worksheet.