The statements of financial position (SFP) of AX Inc. and BY Ltd. on December 31, Year-1 were as follows: Cash Accounts receivables Inventory Plant Assets Accumulated Depreciation Patents Goodwill AX BY Carrying Amount Carrying Amount $ 250,000 $ 55,000 $ $ 55,000 $ 35,000 $ $ 75,000 $ 22,000$ $ 400,000 $ 90,000 $ $ (50,000) $ (10,000) $ 200,000 $ 50,000 $ $ 65,000 $ 7,000 $ 995,000 $ 249,000 Fair Value 55,000 20,000 30,000 60,000 65,000 $ $ 25,000 95,000 $ $ Current Liabilities Long-term debt Common shares Retained Earnings $ 100,000 $ 300,000 $ 250,000 $ 345,000 $ 995,000 S 15,000 100,000 100,000 34,000 249,000 $ $ On December 31, Year-1 AX acquired 80% (8,000 shares) of BYS common shares for $80,000, plus an agreement to pay an additional $80,000 if the company sales grew by more than 20% over the next two years. An independent business valuator valued this contingent consideration at $20,000, had this been paid at the date of acquisition itself. At this date, just after the acquisition by AX, BYs shares were trading for $9 per share. Additional information - Direct costs of acquisition were $8,000. An unreported new patent by BY Inc. was valued at $3,000. Required: a) Calculate consolidated goodwill at the date of acquisition under the proportionate consolidated method b) Prepare a consolidated statement of financial position at the date of acquisition under each of the following a. Identifiable net assets (INA) method b. Fair value enterprise (FVE) method c) Prepare the journal entries under the Worksheet approach for the FVE Method. The statements of financial position (SFP) of AX Inc. and BY Ltd. on December 31, Year-1 were as follows: Cash Accounts receivables Inventory Plant Assets Accumulated Depreciation Patents Goodwill AX BY Carrying Amount Carrying Amount $ 250,000 $ 55,000 $ $ 55,000 $ 35,000 $ $ 75,000 $ 22,000$ $ 400,000 $ 90,000 $ $ (50,000) $ (10,000) $ 200,000 $ 50,000 $ $ 65,000 $ 7,000 $ 995,000 $ 249,000 Fair Value 55,000 20,000 30,000 60,000 65,000 $ $ 25,000 95,000 $ $ Current Liabilities Long-term debt Common shares Retained Earnings $ 100,000 $ 300,000 $ 250,000 $ 345,000 $ 995,000 S 15,000 100,000 100,000 34,000 249,000 $ $ On December 31, Year-1 AX acquired 80% (8,000 shares) of BYS common shares for $80,000, plus an agreement to pay an additional $80,000 if the company sales grew by more than 20% over the next two years. An independent business valuator valued this contingent consideration at $20,000, had this been paid at the date of acquisition itself. At this date, just after the acquisition by AX, BYs shares were trading for $9 per share. Additional information - Direct costs of acquisition were $8,000. An unreported new patent by BY Inc. was valued at $3,000. Required: a) Calculate consolidated goodwill at the date of acquisition under the proportionate consolidated method b) Prepare a consolidated statement of financial position at the date of acquisition under each of the following a. Identifiable net assets (INA) method b. Fair value enterprise (FVE) method c) Prepare the journal entries under the Worksheet approach for the FVE Method