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Saved Help Save & Exit Submit Check my work Chapman Company obtains 100 percent of Abernethy Company's stock on January 1, 2020. As of that

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Saved Help Save & Exit Submit Check my work Chapman Company obtains 100 percent of Abernethy Company's stock on January 1, 2020. As of that date. Abernethy has the following trial balance: Debit Credit $ 50,800 $ 48,200 50,000 161,000 81,750 250,000 Accounts payable Accounts receivable Additional paid-in capital Buildings (net) (4-year remaining life) Cash and short-term investments Common stock Equipment (net) (5-year remaining life) Inventory Land Long-term liabilities (mature 12/31/23) Retained earnings, 1/1/20 Supplies Totals 242,500 135,500 129,500 167,000 297,350 16,700 $815, 150 $815, 150 During 2020, Abernethy reported net income of $90,000 while declaring and paying dividends of $11,000. During 2021, Abernethy reported net income of $134,750 while declaring and paying dividends of $34.000. Assume that Chapman Company acquired Abernethy's common stock for $694,850 in cash. As of January 1, 2020. Abernethy's land had a fair value of $140.700, its buildings were valued at $201.800, and its equipment was appraised at $217,250. Chapman uses the equity method for this investment 5 of 7 signment - Consolidation S... Saved Help Save & Exit Submit Check my work appraised at $217,250. Chapman uses the equity method for this investment Prepare consolidation worksheet entries for December 31, 2020, and December 31, 2021. (if no entry is required for a transaction/event, select "No journal entry required" in the first account field.) view transaction list Consolidation Worksheet Entries Prepare entry *C to convert parent's beginning retained earnings to full accrual basis. Note: Enter debits before credits. Debit Credit Accounts Date December 31 2020 5 of 7 et Entries 5 of 7 Prev Suoma Check my work Consolidation Worksheet Entries 5 of 7 Prev Save Consolidation Worksheet Entries Check 5 of 7 Prev Consolidation Worksheet Entries Check 5 of 7 Svet Consolidation Worksheet Entries Check 5 of 7 5 of 7 5 of 7 03 5 of 7 5 of 7 5 of 7

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