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Sun Corpotation was ereated on January 1, 20X2, and quicicly became successful. On January 1. 206, its owner sold 80 percent of the stock to

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Sun Corpotation was ereated on January 1, 20X2, and quicicly became successful. On January 1. 206, its owner sold 80 percent of the stock to Weatherbee Company at underlying book value At the date of that sale, the fair value of the rernaining shares was equal to 20 percent of the book vahue of Weatherbee. Weatherbee coctinued to operate the subsidiary as a separate legal entity and used the equity method in acoounting for its investment in Sun. The following consolidated finen. cial statements have been prepared: During 20x6, Sun repocted net income of $60,000 and paid dividendis of 520,000 . Watherbee reported net income of $148,000 and paid dividends of $65,000. There were no intercompany transfers during the period. Required: Prepare the consolidated statement of cash flows for Weatherbee Company and its subsidiary for the year ended December 31,206

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