Price Corporation acquired 100 percent ownership of Saver Company on January 1, 20X8, for $153,000. At that date, the fair value of Saver's buildings and equipment was $30000 more than the book value. Buildings and equipment are depreciated on a 10-year basis. Although goodwill is not amortized, Price's management concluded at December 31, 20X8, that goodwill involved in its acquisition of Saver shares had been impaired and the correct carrying value was $5000.

Trial balance data for Price and Saver on December 31, 20X9, are as follows:

Item Price Corp Saver Co.

Debit credit debit credit

Cash 22,000 26,000

Account receivable 75,000 14,500

Inventory 95,000 30,000

Land 35,000 20,000

Buildings and equipment 340,000 155,000

Investment in Saver Co 142,500

Cost of Goods sold 130,000 100,000

Wage Expense 59,500 29,500

Depreciation Expense 27,500 12,500

Interest Expense 14,500 6,000

Other Expenses 23,500 17,500

Dividends declared 35,000 18,500

Accumulated Depreciation 147,500 65,000

Account payable 70,000 21,000

Wages payable 22,000 11,500

Notes payable 155,000 37,500

Common Stock 205,000 60,000

Retained earnings 107,000 40,000

Sales 285,000 195,000

Income from Saver Co 8,000

999,500 999,5000 430,000 430,000

A. Prepare all consolidating entries needed to prepare a three-part consolidation worksheet as of December 31, 20X9.

a-1. Record the basis consolidation entries

a-2. Record the amortized excess value reclassification entry

a-3. Record the excess value (differential) reclassification entry

a-4. Record the optional accumulated depreciation consolidation entry

B. Prepare a three-part consolidation worksheet for 20X9

c-1. Prepare a consolidated balance sheet for 20X9

c-2. Prepare a consolidated income statement for 20X9.

c-3. Prepare a retained earnings statement for 20X9.