Illustration #3a PepsiCo., which is a calendar-year-sepurting company purchased 90% of the common stock of Sprite Co. for 3270.000 1/1/20. On the acquisition date, the act assets of Sprite approximated their fair values of $300,000. Each company's financial statements for the year ended 12/31/20 are presented on the Illustration #3a Worksheet which is included as a link with this assignment Required: When submitting this assignment, both requirements below should be included on the excel worksheet provided Present the journal entries made by Pepsi during 2020 to reflect the acquisition of Sprie and the cquity method of accounting b. Complete the "Illustration #3a Worksheet" to show the consolidation of Pepsi and Sprite on 12/31/20 Consolidation Entries Debit Credit Consolidated Illustration Ja Consolidation Date 12/31/20 Income statement (2020) Sales Cost of sales Depreciation expense Other expenses income from Sprite Popsico (750.000) 230,000 45,000 150.000 (67.500) Sprite co (300.000) 175,000 10,000 40.000 Consolidation Entries Debit Credit Consolidated Illustration #3a Consolidation Date 12/31/20 Income Statement (2020) Sales Cost of sales Depreciation expense Other expenses Income from Sprite NCI in net income Net Income Pepsi Co. (750,000) 230,000 45,000 150,000 (67,500) Sprite Co. (300,000) 175,000 10,000 40,000 (392,500) (75,000) Statement of Retained Earnings Balances, beginning 1/1/20 Net income Dividends declared Balances, 12/31/20 (232,500) (392,500) 100,000 (525,000) (100,000) (75,000) 20,000 (155,000) Balance Sheet (as of 12/31/20) Cash Accounts receivable Inventory Investment in Sprite Land Buildings and equipment Accumulated depreciation 75,000 90,000 80,000 215,500 145,000 180,000 319,500 175,000 715,000 (450,000) 130,000 145,000 (20,000) Total Assets 1,300,000 500,000 Payables and accruals Bonds payable Common stock Retained earnings NCI in net assets Total Liab. and Equity (100,000) (175,000) (500,000) (525,000) (70,000) (75,000) (200,000) (155,000) (1,300,000) (500,000)