Pratt Company acquired all of Spider, Inc.'s outstanding shares on December 31, 2018, for $550,200 cash. Pratt will operate Spider as a wholly owned subsidiary with a separate legal and accounting identity. Although many of Spider's book values approximate fair values several of its accounts have fair values that differ from book values. In addition, Spider has internally developed assets that remain unrecorded on its books. In deriving the acquisition price, Pratt assessed Spider's fair and book value differences as follows Book Values Fair Values Computer software Equipment Client contracts In-process research and development Notes payable $ 26,000 90,500 60,000 43,300 139,000 26,000 (113,100) 103,500) At December 31, 2018, the following financial information is available for consolidation Pratt Spider 9,400 43,000 89,000 100,000 Cash Receivables Inventory Investment in Spider Computer software Buildings (net) Equipment (net) Client contracts Goodwi11 113,500 144,000 550,200 242,500 601,250 279,000 26,000 150,500 60,000 Total assets $ 1,939,850 468,500 Accounts payable Notes payable Common stock Additional paid-in capital Retained earnings $(95,100) (55,000) (519,750) (103,500) 380,000) 100,000) (25,000) (185,000) $(1,939,850) (468,500) (170,000) 775, 000 Total liabilities and equities Prepare a consolidated balance sheet for Pratt and Spider as of December 31, 2018