The following are selected accounts and balances for Mergaronite Company and Hill, Inc., as of December 31, 2021. Several of Mergaronites accounts have been omitted. Credit balances are indicated by parentheses. Dividends were declared and paid in the same period.

		Mergaronite				Hill
Revenues		$	(610,000	)		$	(250,000	)
Cost of goods sold			262,000				96,000
Depreciation expense			104,000				40,000
Investment income			NA				NA
Retained earnings, 1/1/21			(904,000	)			(590,000	)
Dividends declared			130,000				36,000
Current assets			204,000				690,000
Land			286,000				82,000
Buildings (net)			516,000				152,000
Equipment (net)			210,000				246,000
Liabilities			(390,000	)			(310,000	)
Common stock			(316,000	)			(42,000	)
Additional paid-in capital			(52,000	)			(880,000	)

Assume that Mergaronite acquired Hill on January 1, 2017, by issuing 7,000 shares of common stock having a par value of $10 per share but a fair value of $100 each. On January 1, 2017, Hills land was undervalued by $18,600, its buildings were overvalued by $29,600, and equipment was undervalued by $61,200. The buildings had a 10-year remaining life; the equipment had a 5-year remaining life. A customer list with an appraised value of $110,000 was developed internally by Hill and was estimated to have a 20-year remaining useful life.

1. Prepare Entry A to recognize the unamortized allocation balances as of the beginning of the current year.

2. Prepare Entry I to remove the equity income recognized during the year - equity method.

3. Prepare Entry D to remove the Intra-entity dividend declarations.