Zigma purchased 100% of Standard for $500K on January 1st 2XX1. The information below is from the December 31, 2XX1 accounts. At the time of purchase all EMV of all assets and liabilities equal book value, except for the following Description Book Value Fair Value Building $100,000 $180,000 20 Year Life Inventory 10,000 40,000 2 month life Land 5,000 105,000 Any excess from the purchase price will be allocated to goodwill. Requirement: Prepare the appropriate elimination journal entries and complete the worksheet Eliminations Debit Credit Zigma Standard Consolidated Income Statement Sales Other Expenses Depreciation Income from Standard Net Income 200,000 (90,000) (30,000) 279,000 359,000 400,000 (67,000) (20,000) 313,000 Statement of Retained Earnings Beginning RE Net Income Less Dividends Declared Ending Retained Earnings 175,000 359,000 (32,000) 502,000 150,000 313,000 (30,000) 433,000 Balance Sheet Current Assets Depreicable Assets Accumulated Depreciation Investment in Standard 193,000 200,000 (120,000) 749,000 215,000 473,000 (105,000) 105,000 5,000 Land Goodwill Total Assets 1,127,000 588,000 Current Liabilities Long Term Liabilities Common Stock Retained Earnings 150,000 375,000 100,000 502,000 55,000 50,000 50,000 433,000 Total Liabilities and Equity 1,127,000 588,000 Zigma purchased 100% of Standard for $500K on January 1st 2XX1. The information below is from the December 31, 2XX1 accounts. At the time of purchase all EMV of all assets and liabilities equal book value, except for the following Description Book Value Fair Value Building $100,000 $180,000 20 Year Life Inventory 10,000 40,000 2 month life Land 5,000 105,000 Any excess from the purchase price will be allocated to goodwill. Requirement: Prepare the appropriate elimination journal entries and complete the worksheet Eliminations Debit Credit Zigma Standard Consolidated Income Statement Sales Other Expenses Depreciation Income from Standard Net Income 200,000 (90,000) (30,000) 279,000 359,000 400,000 (67,000) (20,000) 313,000 Statement of Retained Earnings Beginning RE Net Income Less Dividends Declared Ending Retained Earnings 175,000 359,000 (32,000) 502,000 150,000 313,000 (30,000) 433,000 Balance Sheet Current Assets Depreicable Assets Accumulated Depreciation Investment in Standard 193,000 200,000 (120,000) 749,000 215,000 473,000 (105,000) 105,000 5,000 Land Goodwill Total Assets 1,127,000 588,000 Current Liabilities Long Term Liabilities Common Stock Retained Earnings 150,000 375,000 100,000 502,000 55,000 50,000 50,000 433,000 Total Liabilities and Equity 1,127,000 588,000