ropic: Consoli Consolidation eliminating entries, second year, cost method 106 andora Company acquires the voting stock of Sunrise Company for $30,000 in cash on January 2020. Pandora accounts for its investment using the cost method. Sunrise equity at the date of acquisition was $4,500, consisting of capital stock of $2.900 and rete earnings of $1,600. The $25,500 excess of acquisition cost over book value followes of $1,600The tsition was 54. Sent using the cost motor $30.000 in cash on Ja 5,500 excesso consisting of method. Sunrise's shon lanuary cost over book value is attributed as Inventories Plant & equipment ID intangibles Goodwill Total $ 600 1.500 5.000 8.400 $25,500 FIFO, sold in 2020 3 year life, straight-line 5-year life straight line Impaired by $250 in 2021 is now December 31, 2021. Sunrise's retained earnings at the beginning sunrise reported net income of $2.200 and declared and paid dividends rise's retained earnings at the beginning of 2021 was $3,000 eclared and paid dividends of $200 in 2021. Required Prepare the eliminating entries (C). (A), (E), (R), and (0), in jo minating entries (C), (A), (E). (R), and (0). in journal form, necessary to consolidate the financial statements of Pandora and Sunrise at December 31, 2021. Step 1. Prepare a schedule to the adjustment to beginning retained earnings to convert Pandora accounts to the complete equity method is calculated as follows: (C) Elimination Entries ropic: Consoli Consolidation eliminating entries, second year, cost method 106 andora Company acquires the voting stock of Sunrise Company for $30,000 in cash on January 2020. Pandora accounts for its investment using the cost method. Sunrise equity at the date of acquisition was $4,500, consisting of capital stock of $2.900 and rete earnings of $1,600. The $25,500 excess of acquisition cost over book value followes of $1,600The tsition was 54. Sent using the cost motor $30.000 in cash on Ja 5,500 excesso consisting of method. Sunrise's shon lanuary cost over book value is attributed as Inventories Plant & equipment ID intangibles Goodwill Total $ 600 1.500 5.000 8.400 $25,500 FIFO, sold in 2020 3 year life, straight-line 5-year life straight line Impaired by $250 in 2021 is now December 31, 2021. Sunrise's retained earnings at the beginning sunrise reported net income of $2.200 and declared and paid dividends rise's retained earnings at the beginning of 2021 was $3,000 eclared and paid dividends of $200 in 2021. Required Prepare the eliminating entries (C). (A), (E), (R), and (0), in jo minating entries (C), (A), (E). (R), and (0). in journal form, necessary to consolidate the financial statements of Pandora and Sunrise at December 31, 2021. Step 1. Prepare a schedule to the adjustment to beginning retained earnings to convert Pandora accounts to the complete equity method is calculated as follows: (C) Elimination Entries