Problem 1. (30%) Clair Corporation is a wholly owned subsidiary of Midco Corporation. Midco acquired ownership of Clair on January 1, 2013, for $30,000 above Clair's reported net assets. At that date. Clair reported common stock outstanding of $60,000 and retained earnings of $90,000. The differential assigned to equipment with an economic life of seven years at the date of the business combination is of $20,000. Clair reported net income of $30,000 and paid dividends of $12,000 in 2013. quired: a- Give the journal entries recorded by Midco Corporation during 2013 on its books for its investment in Clair using the equity method. b Give the eliminating entries needed at December 31, 2013, to prepare consolidated financial statements