Pratt Company acquired all of Spider, Inc.'s outstanding shares on December 31, 2018, for $521,150 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: Computer software Equipment client contracts In-process research and development Notes payable Book Values Fair Values $ 25,500 $ 76,750 63,000 48,700 120,000 37,250 (64,500) (71,550) At December 31, 2018, the following financial information is available for consolidation: Cash Receivables Inventory Investment in Spider Computer software Buildings (net) Equipment (net) client contracts Goodwill Total assets Accounts payable Notes payable Common stock Additional paid-in capital Retained earnings Total liabilities and equities Pratt Spider $ 10,500 $ 10,500 162,500 34,500 167,000 104,500 521,150 @ 246,500 25,500 508,750 175,000 324,000 63,000 @ @ 0 $ 1,940,400 $ 413,000 $ (93,900 $ (58,000) (533,500) (64,500 (380,000 (100,000) (170,000 (25,000) (763, 000) (165,500) $(1,940, 400) (413, 000) Prepare a consolidated balance sheet for Pratt and Spider as of December 31, 2018 Prepare a consolidated balance sheet for Pratt and Spider as of December 31, 2018. PRATT COMPANY AND SUBSIDIARY Consolidated Balance Sheet December 31, 2018 Liabilities and Stockholders' Equity Assets Total assets 0 Total liabilities and equities $