Question: On January 1, 2018, PPP Company purchased 80% of SSS Company for $960.000. At that time SSS had capital stock outstanding of $400,000 and retained earnings of $400,000 The book value and the value implied are equal with exception of plant and equipment. At the end of 2018, PPP Company had in its ending inventory $54,000 of merchandise it had purchased from SSS Company during the year. SSS Company sold the merchandise at 20% above cost. During 2019, PPP Company sold merchandise to SSS Company for $300,000 at a markup of 20% of the selling price. At December 31, 2019, SSS still had merchandise that it purchased from PPP Company for $78,000 in its inventory Financial data for 2019 are presented here: PPP Company SSS Company Sale 51.385.com 572000 Equity in Saadiary Income 153,00 Totale Cost of God 210,000 $95.00 Purch 275.000 Cose of Goods Available 105.000 15.000 Lending Intery 0,00 22.000 Cost of Good Sold 6.000 290.000 Other per 225.000 Total Code 910.000.000 Notice 628,00 214.00 II Redmi 1.419.500 450.00 Net 628.000 26.000 Dividends Declarat 40,000.00 312 Red Earning $2,006,100 4:34,000 1000 Aceive Investere i SSS Company L.15.00 Plant and quiet Other 230.000 Tural Arts 53,189.000 $1,145.000 Aco Payable 34 30 21.00 Other Cum Latit 95.000 6.000 Comment 1.06.2004 Redang 2,001.100 Required: Prepare the consolidated statements workpaper for the year ended December 31, 2019