PROBLEM 48 Consolidated Workpapers, Two Consecutive Years, Cost Method LO 5 On January 1, 2017, Parker Company purchased 95% of the outstanding common stock of Sid Company for $160,000. At that time, Sid's stockholders' equity consisted of common stock, $120,000; other contributed capital, $10,000; and retained earnings, $23,000. On December 31, 2017, the two companies' trial balances were as follows:

Parker Sid Cash $62,000 $30,000 Accounts Receivable 32,000 29,000 Inventory 30,000 16,000 Investment in Sid Company 160,000 0 Plant and Equipment 105,000 82,000 Land 29,000 34,000 Dividends Declared 20,000 20,000 Cost of Goods Sold 130,000 40,000 Operating Expenses 20,000 14,000 Total Debits $588,000 $265,000 Accounts Payable $19,000 $12,000 Other Liabilities 10,000 20,000 Common Stock 180,000 120,000 Other Contributed Capital 60,000 10,000 Retained Earnings, 1/1 40,000 23,000 Sales 260,000 80,000 Dividend Income 19,000 0 Total Credits $588,000 $265,000 Required: Prepare a consolidated statements workpaper on December 31, 2017. Prepare a consolidated statements workpaper on December 31, 2018, assuming trial balances for Parker and Sid on that date were: Parker Sid Cash $67,000 $16,000 Accounts Receivable 56,000 32,000 Inventory 38,000 48,500 Investment in Sid Company 160,000 0 Plant and Equipment 124,000 80,000 Land 29,000 34,000 Dividends Declared 20,000 20,000 Cost of Goods Sold 155,000 52,000 Operating Expenses 30,000 18,000 Total Debits $679,000 $300,500 Accounts Payable $16,000 $ 7,000 Other Liabilities 15,000 14,500 Common Stock 180,000 120,000 Other Contributed Capital 60,000 10,000 Retained Earnings, 1/1 149,000 29,000 Sales 240,000 120,000 Dividend Income 19,000 0 Total Credits $679,000 $300,500