Question extracted from the textbook modern advanced accounting

On December 31 Year 1 P Company purchased BOSS of the outstanding shares of 5 Company for $7 950 for cash to of The statements of financial position of the two companies immediately after the acquisition transaction appear below company 5 Company Carrying Carrying Fai Amoun Amoun Value Plant and equipment ( net ) 9600$ 8300 7000 Investment in S Company 7:900 Inventory 6 6 60 5, 300 5,500 Accounts receivable 6 , 150 3, 300 2 0 Cash 4 500 2550 2.950 $ 34 810 $19 450 Ordinary shares 12000$ 4500 Retained earnings 15 410 5 950 Long-term liabilities 4.500 3 500 3, 500 Other current liabilities 1500 3 300 3, 300 Accounts payable 1 400 29010 2, 200 34 810 19 450 Required ) Prepare a consolidated statement of financial position at the date of acquisition under each of the following if Parent company extension theory i1) Entity theory