Professor Corporation acquired 70 percent of Scholar Corporations common stock on December 31, 20X4, for $102,200. The fair value of the noncontrolling interest at that date was determined to be $43,800. Data from the balance sheets of the two companies included the following amounts as of the date of acquisition:

Item	Professor Corporation					Scholar Corporation
Cash		$	50,300				$	21,000
Accounts Receivable			90,000					44,000
Inventory			130,000					75,000
Land			60,000					30,000
Buildings & Equipment			410,000					250,000
Less: Accumulated Depreciation			(150,000	)				(80,000	)
Investment in Scholar Corporation			102,200
Total Assets		$	692,500				$	340,000
Accounts Payable		$	152,500				$	35,000
Mortgage Payable			250,000					180,000
Common Stock			80,000					40,000
Retained Earnings			210,000					85,000
Total Liabilities & Stockholders Equity		$	692,500				$	340,000

At the date of the business combination, the book values of Scholars assets and liabilities approximated fair value except for inventory, which had a fair value of $81,000, and buildings and equipment, which had a fair value of $185,000. At December 31, 20X4, Professor reported accounts payable of $12,500 to Scholar, which reported an equal amount in its accounts receivable. Required: a. Record the consolidation entry or entries needed to prepare a consolidated balance sheet immediately following the business combination. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

b. Prepare a consolidated balance sheet worksheet. (Values in the first two columns (the "parent" and "subsidiary" balances) that are to be deducted should be indicated with a minus sign, while all values in the "Consolidation Entries" columns should be entered as positive values. For accounts where multiple adjusting entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet.) c. Prepare a consolidated balance sheet in good form. (Be sure to list the assets and liabilities in order of their liquidity. Amounts to be deducted should be indicated with a minus sign.)