The following data applies to Questions 8-11:

On January 1, 20X8, Chariot Company acquired 100 percent of Stryder Company for $220,000 cash. The trial balances for the two companies on December 31, 20X8, included the following amounts: On the acquisition date, Stryder reported net assets with a book value of $170,000. A total of $10,000 of the acquisition price is applied to goodwill for 20X8. The difference between fair value and book value of tangible assets is related entirely to buildings and equipment. Chariot used the equity method in accounting for its investment in Stryder. Analysis of receivables and payables revealed that Stryder owed Chariot $10,000 on December 31, 20X8.

8. Based on the information provided, the differential associated with this acquisition is: A. $36,000. B. $40,000. C. $10,000. D. $50,000.

9. Based on the information provided, the beginning differential assigned to buildings and equipment is: A. $50,000. B. $40,000. C. $10,000. D. $36,000.

10. Based on the information provided, what amount of retained earnings will be reported in the consolidated financial statements for the year? A. $331,000 B. $110,000 C. $441,000 D. $456,000

11. Based on the information provided, what amount of total assets will be reported in the consolidated balance sheet for the year? A. $895,000 B. $801,000 C. $723,000 D. $1,111,000