Project 2 Data:+70/70 Balances as of December 31, 20X8 Putt CompanySlice Company ItemDebitCreditDebitCredit Cash15,850 58,000 Accounts Receivable65,000 70,000 Interest Receivable30,000 10,000 Inventory 150,000 180,000 Land80,000 60,000 Buildings and Equipment315,000 240,000 Investment in Slice Co160,580 Bond Discount 15,000 Cost of Goods Sold375,000 110,000 Depreciation Expense25,000 10,000 Interest Expense24,000 33,000 Other Expense28,000 17,000 Dividends Declared30,000 5,000 Accumulated Depreciation 120,000 60,000 Accounts Payable 66,880 28,000 Other Payables 30,000 20,000 Bonds Payable 250,000 300,000 Common Stock 150,000 100,000 Additional Paid in Capital 30,000 Retained Earnings 165,240 100,000 Sales 450,000 190,400 Other Income 28,250 Gain on sale of Equipment 9,600 Income from Slice Company 8,060 $ 1,298,430 $ 1,298,430 $ 808,000 $ 808,000 Additional Information: 1. Putt Company acquired 70 percent ownership of Slice Company on January 1, 20X3 for 158,900 At that date, the fair value of the noncontrolling interest was $68,100. Slice reported common stock outstanding of $100,000 and retained earnings of $85,000. 2. On January 1, 20X3, the entire amount of differential is assigned to Goodwill. No impairment of goodwill was noted for 2008. 3. Accumulated Depreciation on buildings and equipment was $25,000 on the acquisition date. 4. Putt used the fullly adjusted equity method in accounting for its investment in Slice. 5. Inventory transactions are as follows: a. Slice sold inventory costing $25,500 to Putt for $42,500 in 20X7. Putt resold 80% of the purchase in 20X7 and the remainder in 20X8. b. Slice sold inventory costing $21,000 to Putt for $35,000 in 20X8. Putt resold 70%of the purchase in 20X8.c. Putt sold inventory costing $14,000 to Slice for $28,000 in 20X8. Slice resold all but $13,000 of the purchase in 20X8. 6. Long term asset transactions included the following: a. Putt sold land that had cost of $21,000 to Slice for $32,000 on January 1, 20X7. b. On January 1, 20X8, Slice sold to Putt equipment that it had purchased for $100,000 on January 1, 20X6(2 years earlier). The equipment had a total economic life of 10 years with a salvage value of $10,000. Slicesold the equipment to Putt for $91,600. Both companies use straight-line depreciation and the life and salvage value remained unchanged as a result of the transfer. Req: Journal Entries made by Putt for Investment in Slice 2). Consolidation Entries made by Putt