Problem 6-48 (LO 6-4) On June 30, 2014, Plaster, Inc., paid $916,000 for 80 percent of Stucco Company's outstanding stock. Plaster assessed the acquisition-date fair value of the 20 percent noncontrolling interest at $229,000. At acquisition date, Stucoo reported the following book values for its assets and liabilities: Cash Accounts receivable $ 60,000 127,000 203,000 65,000 175,000 300,000 (35,000) Land Buildings Accounts payable On June 30, Plaster allocated the excess acquisition-date fair value over book value to Stucco's assets as follows: Equipment (3-year life) Database (10-year life) 75,000 175,000 At the end of 2014, the following comparative (2013 and 2014) balance sheets and consolidated income statement were available: Plaster, Inc. December 31, 2013 December 31, 2014 Accounts receivable(net) Inventory Land Buildings (net) Equipment (net) $ 43,000 362,000 415,000 300,000 245,000 1,800,000 S 242.850 485,400 720,000 365,000 370,000 2,037,500 166,250 Total assets $ 3,165,000 $4,387,000 Accounts payable Long-term liabilities Common stock Noncontrolling interest Retained earnings $ 80,000 400,000 1,800,000 $ 107,000 1,200,000 1,800,000 255,500 1,024,500 885,000 Total liabilities and equities $ 3,165,000 $4,387,000 PLASTER, INC. AND SUBSIDIARY STUCCO COMPANY Consolidated Income Statement For the Year Ended December 31, 2014 Revenues Cost of goods sold $1,217,500 $ 737,500 187,500 8,750 Database amortization Interest and other expenses 9,750 943,500 Consolidated net income $ 274.000 Additional Information for 2014 . On December 1, Stucco paid a S40,000 dividend. During the year, Plaster paid $100,000 in During the year, Plaster issued $800,000 in long-term debt at par Plaster reported no asset purchases or dispositions other than the acquisition of Stucco. Prepare a 2014 consolidated statement of cash flows for Plaster and Stucco. Use the indirect method of reporting cash fows from operating activites. (Negative amounts and amounts to be deducted should be indicated by a minus sign.) R INC. AND SUBSIDIARY STUCCO COMPAN Consolidated Statement of Cash Flows For the Year Ended December 31, 2014 Cash flows from operating activities: Cash flows from investing activities: Cash flows from financing a ctvities: Beginning cash, 1/1/14 Ending cash, 12/31/14