These are some of the accounts to use:

Branson paid $563,700 cash for all of the outstanding common stock of Wolfpack, Inc., on January 1, 2020. On that date, the subsidiary had a book value of $365,000 (common stock of $200,000 and retained earnings of $165,000), although various unrecorded royalty agreements (10-year remaining life) were assessed at a $165,000 fair value. Any remaining excess fair value was considered goodwill. In negotiating the acquisition price, Branson also promised to pay Wolfpack's former owners an additional $49,000 if Wolfpack's income exceeded $130,000 total over the first two years after the acquisition. At the acquisition date, Branson estimated the probability-adjusted present value of this contingent consideration at $34,300. On December 31, 2020, based on Wolfpack's earnings to date, Branson increased the value of the contingency to $39,200. During the subsequent two years, Wolfpack reported the following amounts for income and dividends: 2020 2021 Net Income $ 68,200 78, 200 Dividends Declared $ 10,000 20,000 In keeping with the original acquisition agreement, on December 31, 2021, Branson paid the additional $49,000 performance fee to Wolfpack's previous owners. Prepare each of the following: a. Branson's entry to record the acquisition of the shares of its Wolfpack subsidiary. b. Branson's entries at the end of 2020 and 2021 to adjust its contingent performance obligation for changes in fair value and the December 31, 2021, payment. c. Prepare consolidation worksheet entries as of December 31, 2021, assuming that Branson has applied the equity method. d. Prepare consolidation worksheet entries as of December 31, 2021, assuming that Branson has applied the initial value method. Required A Required B Required C Branson's entry to record the acquisition of the shares of its Wolfpack subsidiary. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) view transaction list Consolidation Worksheet Entries 1 Record the acquisition of the shares of its subsidiary Wolfpack. Note: Enter debits before credits. Required D Transaction 1 Record entry General Journal Clear entry Debit Credit view general journal Required A Required B Required C Branson's entries at the end of 2020 and 2021 to adjust its contingent performance obligation for changes in fair value and the December 31, 2021, payment. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) view transaction list Consolidation Worksheet Entries 1 2 3 Record the adjustment of contingent performance obligation for changes in fair value. Note: Enter debits before credits. Date 12/31/2020 Required D General Journal Debit Credit > Required A Required B Required C Branson's entries at the end of 2020 and 2021 to adjust its contingent performance obligation for changes in fair value and the December 31, 2021, payment. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) view transaction list Consolidation Worksheet Entries Required A Required B Required C Branson's entries at the end of 2020 and 2021 to adjust its contingent performance obligation for changes in fair value and the December 31, 2021, payment. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) view transaction list Consolidation Worksheet Entries 1 2 3 Date 12/31/2021 Record the payment of the contingent performance obligation fee. Note: Enter debits before credits. Required D General Journal Debit Credit > Required A Required B Required C Prepare consolidation worksheet entries as of December 31, 2021, assuming that Branson has applied the equity metho required for a transaction/event, select "No journal entry required" in the first account field.) view transaction list transaction list Required D Prepare entry *C to convert parent's beginning retained earnings to full accrual basis. 2 Prepare entry S to record the elimination of common stock and retained earnings. 5 3 Prepare entry A to record the acquisition-date excess fair values over book values, unamortized balances as of beginning of year. 4 Prepare entry I to record the accrual of equity earnings. Prepare entry D to record the dividends declared. 6 Prepare entry E to record excess fair-value amortization expenses. = journal entry has been entered Note : EX EX Required D > Debit Credit Required A Required B Required C Prepare consolidation worksheet entries as of December 31, 2021, assuming that Branson has applied the initial value method. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) view transaction list 1 3 2 Prepare entry S to record the elimination of common stock and retained earnings. 4 Required D Prepare entry *C to convert parent's beginning retained earnings to full accrual basis. Prepare entry A to record the acquisition-date excess fair values over book values, unamortized balances as of beginning of year. Prepare entry I to record the accrual of equity earnings. 5 Prepare entry D to record the dividends declared. 6 Prepare entry E to record excess fair-value amortization expenses. = journal entry has been entered Note : EXI Credit > I el Accounts Debit Investment in Wolfpack Loss from increase in contingent performance obligation Retained earnings - Branson Retained earnings - Wolfpack Royalty agreements Crec el Accounts Debit Cre Contingent performance opingation Dividends declared Dividend income Dividends paid Equity earnings of Wolfpack Gain from increase in contingent performance obligation ! el Accounts No journal entry required Amortization expense Cash Common stock - Wolfpack Debit Crec 12 9