The December 31, 20X8, balance sheets for Pint Corporation and its 70 percent-owned subsidiary Saloon Company contained the following summarized amounts:

PINT CORPORATION AND SALOON COMPANY
Balance Sheets December 31, 20X8
	Pint Corporation					Saloon Company
Assets
Cash & Receivables		$	105,000				$	48,000
Inventory			156,000					105,000
Buildings & Equipment (net)			313,000					292,000
Investment in Saloon Company			217,000
Total Assets		$	791,000				$	445,000
Liabilities & Equity
Accounts Payable		$	92,000				$	79,000
Common Stock			184,000					131,000
Retained Earnings			515,000					235,000
Total Liabilities & Equity		$	791,000				$	445,000

Pint acquired the shares of Saloon Company on January 1, 20X7. On December 31, 20X8, assume Pint sold inventory to Saloon during 20X8 for $113,000 and Saloon sold inventory to Pint for $314,000. Pints balance sheet contains inventory items purchased from Saloon for $99,000. The items cost Saloon $59,000 to produce. In addition, Saloons inventory contains goods it purchased from Pint for $28,000 that Pint had produced for $16,800. Assume Saloon reported net income of $77,000 and dividends of $15,400. Required: a. Prepare all consolidation entries needed to complete a consolidated balance sheet worksheet as of December 31, 20X8. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round intermediate calculations.)

Consolidation Worksheet Entries

• Record the basic consolidation entry.

• Record the entry to defer this year's unrealized profit on inventory transfers.

Note: Enter debits before credits.

Entry	Accounts	Debit	Credit
2

b. Prepare a consolidated balance sheet worksheet as of December 31, 20X8. (Do not round intermediate calculations. Values in the first two columns (the "parent" and "subsidiary" balances) that are to be deducted should be indicated with a minus sign, while all values in the "Consolidation Entries" columns should be entered as positive values. For accounts where multiple adjusting entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet.)

PINT CORPORATION & SUBSIDIARY
Consolidated Balance Sheet Worksheet
December 31, 20X8
			Consolidation Entries
	Pint Corporation	Saloon Company	DR	CR	Consolidated
Assets
Cash and receivables
Inventory
Buildings & equipment (net)
Investment in Saloon Company
Total Assets
Liabilities & Equity
Accounts payable
Common stock
Retained earnings
NCI in NA of Saloon Company
Total Liabilities & Equity