Pop Corporation acquired 70 percent of the outstanding voting stock of Son Corporation for $182.000 cash on January 1, 2016, when Son's stockholders equity was $260.000. All the assets and liabilities of Son were suted at fair values (equal to book values when Pop acquired its 70 percent interest Financial statements of the two corporations at and for the year ended December 31, 2016. are summarized as follows in thousands); Pop Son ST.240 SOO 260 RO 160 MOON 30 170 260 1200 SIMBA Combined Income and Related Earning Statements for the Bear Ended December 37 Sales Income from San Con of goods sold Operating expenses Net income Add: Retained eaming: January 1 Deduc Dividends Reuined camnings December 31 Balance Sheetal December 31 Cash Receivables et Inventones Plant and equipment Investment in Son Total assets Accounts payable Other liabilities Capital soek, 510 par Other paid in capital Retained earnings Total cquition $ 60 120 182 240 196 480 1969 SU S60 140 $400 $72 00 SO 31 SIIN 64 S200 I 1. Perform the preliminary calculations to determine is there is any excess of cost over book value. 2. Prepare your Income and Dividends calculations using the method explained in the power point. 3. Calculate the investment balance in Son at 12-31-2016. 4. Prepare all of the journal entries needed for the consolidated worksheet. (Using the order of entries provided in the power poi 5. Complete the consolidated worksheet. 1. Preliminary Calculations Cost of 70% investment in Son Implied total fair value Book Value of Son Non controlling interest check figure 78 2. Income and Dividend Calculations Son Net Income Dividends Pop's Share Son's Share check figure 18 check figure -12 3 investment Balance at 12-31-2016 Investment Cost Pop's share of Son's income Pop's Share of Son's Dividends Investment in Son at 12-31 2016 check figure 196 3 24. Journal Entries - see the power point slide for the indexing - use the letters in the power point